Accell Group, parent of the Babboe, Batavus, Carqon, Ghost, Haibike, Koga, Lapierre, Raleigh, Sparta, and Winora bicycle brands, reported sales dropped 22 percent in 2024 due to extensive discounting in the bike space but growth has resumed in the P&A (parts and accessories) business and certain key regions in early signs of recovery.
In an update reported to the market this week, Accell, which has been owned by private equity giant KKR & Co. since 2022, said the following the finalization of the recapitalization in February 2025, it has finalized its 2024 annual accounts. Revenues declined to €1.0 million ($1.2 bn) due to “intense discounting.” In 2023, Accell posted sales of €1.29 million, which was down 10 percent compared to 2022.
In its latest update, Accell said 2024 results “were heavily impacted by one-offs, while market conditions remained challenging.” EBIT was in line with the prior year and included one-offs relating to obsolete stock, costs related to the capital restructuring as well as Babboe recall costs.
Accell noted that it’s made progress as part of its Transformation Program, including significantly reducing its stock in 2024. The number of warehouses internationally were reduced from 85 to 28, reflecting the decreased inventories as well as increased supply chain and logistics efficiency.
Production has been “decoupled” from brands with Accell now using a network of owned and third-party plants complemented by its facility in Hungary as the central hub. A factory in Turkey (Bisiklet) was recently divested and is now owned by a local bicycle company.
Accell said that although certain markets have not recovered yet, year on year growth is being seen in its P&A (parts and accessories) business as well as in other key regions.
Accell said it continues to invest in “further rightsizing the operations, distribution and overall cost structure,” as part of its Transformation Program to increase flexibility, reduce complexity and improve productivity. Back-office functions have been centralized while local sales and marketing teams are in place to ensure customer proximity.
To support its continued Transformation efforts, Accell has secured a super senior loan facility of €50 million with certain lenders, following on the recapitalization agreement earlier this year.
Accell added, “At the same time, we commenced improving our product and service offerings across the brands and executing various savings and operational excellence programs to enhance structural competitiveness. These measures create room for investment in innovation, design and R&D, helping Accell’s iconic brands to stay at the forefront of the developments.”
Brands Updates
Accell noted that it recently launched its first connected city e-bike, the Raleigh One. The e-bike is being launched country-by-country and “early market feedback has been very positive.”
Several of Accell’s brands were recognized as part of the 2025 RAI Bicycle Awards. The Batavus Senz Active Exclusive was named Bicycle of the Year 2025, and the Koga E-F3 6.0 was crowned E-Bike of the Year 2025. Lapierre’s Xelius DRS was honored with the Design & Innovation Award 2025, while the Lapierre Crosshill CF 7.0 was named Gravel Bike of the Year 2025 by Le Cycle magazine.
Sales of Babboe have reportedly resumed in Germany, France and Denmark. Accell said, “This will cater for the growing demand for safe and innovative cargo bikes and reinforce our position in these markets. We see strong potential in this segment, particularly in the mid-range segment, and aim to expand our presence accordingly.”
Since January, Accell has been the official partner of Team Picnic PostNL, with Lapierre as the bike sponsor and XLC as the accessories partner.
Accell’s brands include Haibike, Winora, Ghost, Batavus, Koga, Lapierre, Raleigh, Sparta, Babboe and Carqon. XLC is its parts and accessories brand.
Outlook
Accell said, “With the first signs of recovery in our P&A business and certain key regions, challenges remain and will continue to impact our results. The fundamental outlook for the market remains positive over the medium term. In addition to agreeing on the fit-for-purpose capital structure and increased liquidity, good progress has been made with the Transformation Program. We continue to optimize our logistics and will further decrease our inventories and number of warehouses during the year. Additional measures will set the unique and iconic brands up for continued success. Our brands continue to gain market share, which underpins our confidence in the group’s future.”
CEO Commentary
Jonas Nilsson, Accell’s CEO, said, “The first half of 2025 shows that we are on the right track towards a sustainable recovery, although there is still a great deal to be done. Our sales and operating results for 2024 were impacted by one-offs and reflect the challenging market. We have demonstrated resilience and begin to reap the benefits of our integration, becoming less complex and more efficient.
“The strength of our brands is unparalleled and we see growth in our Parts & Accessories (P&A) business as well as in key regions. These are strong signs of our strategy execution and market recovery.
“I’m very proud to see that Batavus, Koga and Lapierre were recognized with several awards, and we recently launched our first connected city e-bike, the Raleigh One. As we approach the end of our Babboe recall, we continue to support the affected customers and prepare for the launch of new models. In the first months of 2025, we have accelerated our transformation, making solid progress on our key priorities: integration to become ONE Accell, improving our operational performance, and driving growth in our core markets.”
Photo courtesy Raleigh
