Relatively Small Growth for World’s Largest Online Bike Store
CORK, Ireland – With a 6% growth of its business the world’s largest online bike store – Chain Reaction Cycles Ireland Ltd – underperformed compared to many other web shops which generally speak of double digit growth rates.
2014 revenues at Chain Reaction Cycles came in at GBP 153mn (€ 208.4mn). Pre-tax profits of the Ireland based company firm decreased marginally, from GBP 4.83mn (€ 6.6mn) to GBP 4.8mn in 2014. EBITDA stood at GBP 6mn (€ 8.2mn) following on GBP 6.6mn (€ 9.0mn) in 2013. Operating profits declined last year from GBP 5.2mn (€ 7.1mn) to GBP 5mn (€ 6.8mn)due to, “Increased spending on overheads such as technology.” Chain Reaction Cycles’ staff decreased from 612 to 540 last year. According to a report by the Irish Independent the group had GBP 26.18mn (€ 35.7mn) in accumulated profits.
Over 100 countries worldwide
Chain Reaction Cycles which started as the Watson family business sells bikes and P&A to over 100 countries worldwide. Share of the sales outside the European Union was 33% in 2014. The directors state that the principal reason for the 6% increase in revenues, “Was a greater volume of transactions. Sales gains were recorded in most markets, despite challenging economic conditions.”