Bike producer Canyon suffered a web lack of €38 million (£32m/$43m) in 2024, with proprietor GBL reporting a 43% fall within the worth of its funding from 2023 to 2024.
GBL (Groupe Bruxelles Lambert) reported in its 2024 monetary assertion that: “Canyon’s gross sales and profitability have been impacted by elevated discounting throughout the sector and high quality points in sure electrical mountain bike fashions, forcing Canyon to quickly droop gross sales of those fashions. Canyon is addressing the scenario with the utmost urgency and expects to resolve the difficulty by Q2 2025.”
Based on a GBL 2024 monetary assertion seen by the BikeEurope trade web site, the worth of its funding had fallen 43% from €460m (£387m/$523m) in 2023 to €261m (£219m/$297m) on the finish of final yr.
Whereas Canyon’s consolidated income remained nearly an identical throughout the identical interval (€791m/£665m/$899m in 2023, €792m/£666/$900m in 2024) – up from €408m/£343m/$390m in 2021), the worth of its stock fell from €417.9m (£351m/$475m) on the finish of 2023 to €351.6m (£295m/$475m) a yr later, reported BikeEurope.
GBL, which initially purchased a share of simply over 50% within the German bicycle producer for €400m (£336m/$454m) in 2020, mentioned the market continued to be difficult, with overstock in some areas.
“Gross sales have been secure in a difficult market surroundings characterised by oversupply in sure classes and aggressive discounting, significantly in electrical and non-electric mountain bikes and metropolis bikes.”
In response, Canyon supplied its personal assertion to BikeEurope.
“Our progress curve in 2024 was flatter in comparison with earlier years,” it mentioned. “However it depends upon the product class: some segments carried out higher than others, particularly in Efficiency Highway and Efficiency Gravel segments. In distinction, the demand for normal Mountain Bikes with out electrical drive methods has declined considerably.”
It continued: “Whereas the financial scenario within the bike trade remains to be strained in 2025 and key trade associations are forecasting one other difficult yr for the bicycle trade, we’re taking a cautious method to enterprise planning this yr, avoiding build up extra stock for instance. Nonetheless, we’re persevering with to spend money on key areas for long run success.
“Specifically with the launch of recent programmes equivalent to MyCanyon, which launched within the US and APAC area earlier this yr and can launch in Europe in July, we’re providing clients the choice to configure particular person parts equivalent to saddles, drivetrain, wheels, and the paintings of their bike, additional inspiring a premium viewers.”
It mentioned it will be investing in “offline methods” through international tales, Canyon Manufacturing facility Service areas in Spain and a brand new group in Shanghai, supporting “rising gross sales in China”.
