OSAKA, Japan (BRAIN) — Shimano only briefly mentioned the global bicycle part shortages in a typically terse first-half financial results announcement, which reported that sales in its bicycle product division were up 73.4% in the first half of its fiscal year, compared to the same period in 2020. Operating income in the bicycle division was up 152.1%.
Shimano raised its full-year net sales forecast to 500 billion yen ($4.5 billion), up 9.8% from its earlier forecast. It raised its operating income forecast to 124.5 billion yen, up 18.6% from its earlier forecast. By comparison, Shimano's 2020 net sales were 378 billion yen and 2019's number was 290 billion yen.
Bike-related sales in the first half this year were 212 billion yen and operating income was 58 billion yen. Shimano's fishing equipment sales were up 38.4% to 52 billion yen.
Company-wide, net sales were up 65.2% to 264.7 billion yen and operating income was up 144% to 70 billion yen.
In a brief overview of the cycling market, Shimano said demand remains high in all markets. It said some of its factories "experienced temporary shutdown due to the lockdown," an apparent reference to the closure of Shimano's Malaysia factories in June.
"However, against the backdrop of the new normal, interest in and demand for bicycles and fishing continued to be high, and the Shimano Group increased production capacity at the factories in Japan and overseas," the company said.
Shimano announced last week that its Malaysia factory would be re-opening. It also said it was investing about $300 million in factory upgrades in Japan and a new factory in Singapore.
