The Accell Group reported that 2007 fiscal year sales increased 16% to 431.7 million ($559.9 mm) compared to 372.1 million ($463.4mm) last year. Organic growth for the full year came in at 9%. The acquisitions of Seattle Bike Supply and Webena Sport, added 7% to the top line. Earnings per share was up 15% to 2.00 ($2.51) compared to 1.75 ($2.18) last year.
Net sales in the bicycle segment rose by 14% to 386.2 million ($501.2 mm) in 2006 compared to 339.9 million ($423.3 mm) last year. Of this, 6% of the growth was organic and 8% the result of acquisitions. Sales of parts and accessories accounted for roughly 19% of sales in the division. Accell Group sold 917,000 bicycles, around 7% more than in 2005. The average price per bicycle rose by 2% to roughly 339 ($440).
The integration of Seattle Bike Supply was completed during the first half of the year and management feels that SBS existing distribution network will be a strong platform for Accells parts and accessories brands as well as the LaPierre bicycle brand. In 2007, this collaboration will be expanded. The acquisition of SBS is also allowing Accell to expand distribution of Redline BMX bikes into Western Europe.
The bicycle divisions operating profit was 36.9 million ($46.4 mm) compared to 2005 when operating profits were 32.7 million ($40.7 mm).
Net sales in the fitness segment grew almost completely organically to 45.6 million ($57.3 mm), a 41.6% increase over the 32.2 million ($40.1 mm) reported last year. The rise in turnover in the fitness segment was in large part due to the launch of new products and to new clients. Operating profit for the fitness segment increased 42.9% to 2.0 million ($2.5 mm) compared to 1.4 million ($1.7 mm) last year.
