Accell Group Reports Substantial Year-on-year Profit Growth in The First November Of 2021

Recently, Accell Group of the Netherlands reported a significant year-on-year increase in profits from 2021 to November.

Accell will repay its remaining €69 million GO-C loan in full in December, and will change its existing revolving credit facility (RCF) from seasonal availability to full-year availability to better reflect changes in seasonal patterns . With the repayment of these facilities, company shareholders resumed dividends, although Accell will continue to take a cautious stance on cash distribution.

Ton Anbeek, CEO of Accell Group, expressed satisfaction: “Given the limited supply of components, we are able to record good sales figures and sustained strong profit growth from the second half of 2021 to November. Benefit from various initiatives that continue to impact and restore value. At the same time, we continue to develop a digital roadmap for all brands and regions in our product portfolio. In recent months, we have also contributed to our Raleigh, Lapierre, Batavus and Winora The brand has launched several new e-freight concepts to further consolidate our leading position in this fast-growing bicycle sector. Overall, we are achieving our goal of 2022."

In recent months, the production level of Accell's own factories has been stable, higher than the level in the first half of 2021. Accell has been investing heavily in inventory levels and continuous availability downstream. As Asian parts suppliers resumed operations, the shortage was greatly eased. In addition, Accell has been investing heavily in inventory levels and continuous downstream availability. This will ensure that demand will remain strong in 2022.

According to Accell Group, low inventory levels coupled with long-term development such as electrification, bicycle infrastructure investment, tax incentives and subsidies, should drive continued strong demand. Orders are sufficient, but due to fluctuations in arrival time, global shortages of parts will continue to exist and affect the sales of bicycles and parts. Nevertheless, the company expects operating profit in 2021 to be higher than last year.