SCOTTS VALLEY, Calif. (BRAIN) — Fox's sales climbed 16 percent last year to $272.7 million, driven mostly by an 18 percent sales growth of its power vehicle products; sales of mountain bike products grew 14 percent over the prior fiscal year.
"The industry is in a better inventory position than we expected coming out of the fall trade shows," said Mario Galasso, recently promoted to Fox Factory president.
"I think premium mountain bike sales will do better this year than bike overall, though our sales growth will be slightly slower than it was," Galasso added.
Fox is expanding its product offerings down market with a new suspension platform for bikes selling between $1,500 and $2,000.
"It will be new product distinct from the products above it," he said.
And the Doss adjustable seatpost the company introduced in 2013 will be joined by two more posts so the company can offer a post for each of its levels of products — Evolution, Performance and Factory.
E-bikes are quickly taking over the European market and Galasso said though the company currently supplies product to the pedal-assist mountain bike category, it will be developing products for commuter and trekking bikes.
Last year Fox built 750,000 fork subassemblies at its factory in Taichung, Taiwan, and the first complete forks rolled out of the facility this January. Fox continues to move fork and shock production to Taiwan but does not expect to complete the move until the end of next year.
Fox went public last August. Its stock is trading on the Nasdaq Global Select Market under the ticker symbol "FOXF."
On Tuesday the stock closed at 16.71, less than 1 percent down.
