HEERENVEEN, Netherlands (BRAIN) — Accell Group is bullish about the second half of its 2014 fiscal year, expecting to book higher turnover and net profit in all of its key markets.
The Dutch company owns Accell North America and the Raleigh, Diamondback, Lapierre and Redline bike brands, among others.
"The outlook for the medium to long term remains positive," the company said in a quarterly report released Tuesday. "Demand for bicycles for mobility, health and active sports purposes is structurally strong. This will continue to boost sales of electric bikes and sports bikes in the higher end of the market in particular."
Accell also announced it was in talks to buy the Danish distributor Cycle Service Nordic and that it has completed the acquisition of Comet, a Spanish distributor.
"The positive trend of the first half year has continued into the second half year. Following a good first half, the weather conditions have also been favourable in the second half in most of the countries where Accell markets its products. The margin is developing positively as in particular more electric bikes and high-end sports bikes are being sold. The acquisition of Comet in Spain and the expected takeover of Cycle Service Nordic in Denmark lead to a further strengthening of our position in the field of bicycle parts and accessories in Europe. Based on the above, we expect sound growth in turnover and profit for the full year 2014," said René Takens, the CEO of Accell Group.
