The company behind the Beryl electric bike rental scheme has reported a widening loss of over £7.3m despite growing revenues.
London-based sports goods business Smidsy said it remained optimistic about its future performance.
The company runs 20 operational schemes across the º£½ÇÊÓƵ, spanning locations including Cornwall, Manchester, Dorset, Leeds and the West Midlands, and boasting an array of e-bike projects.
The announcement comes seven months after the business removed its bikes from St Austell, in Cornwall, attributing the decision to insufficient usage. Although operations have ceased in St Austell, the bike scheme continues to operate in Truro, Falmouth, Penzance, Newquay, and Saltash.
Smidsy, trading under the name Beryl, has released its annual report and financial statements up to March 2024. This document, submitted to Companies House, outlines a post-tax loss of £7.3m.
According to documents, the payroll supports 149 employees, with an annual wage bill of £4.5m. Notably, the highest paid director's recompense totalled £206,000, almost a twofold increase from the previous year.
In the previous year, the company recorded a loss of £4.27m and in 2022, the loss stood at £4.26m. The accumulated losses over these three years amount to nearly £16m, and as such, no dividend payments have been made during this period.
On a more positive note, Smidsy saw a rise in total revenue to £12.6m from £11.3m in 2023, with an added income of £193,590, largely derived from government grants.
The company's total assets have increased to £24.1m from £16.8m, and net assets of £237,953 have dramatically improved from a net liability of £1.4m in 2023, reports .
The company is scheduled to repay a £1.9m loan with an 8% interest rate from Frontier Development Capital this year. Despite acknowledging "challenges" in its report, Smidsy remains optimistic about its future, highlighting a commitment from major shareholder ACG, which has provided a £750,000 interest-free loan and pledged financial support if necessary to ensure Smidsy's continued operation.
In December last year, marine robot tech firm Ocean Infinity Group, based in the Cayman Islands and owned by Guernsey-incorporated ACG, took over Smidsy. ACG is controlled by its major shareholder, 45-year-old Anthony Clarke.
Philip Ellis, the 37-year-old co-founder and chief executive of Smidsy, said in a strategic report dated April 15, 2025: "We continued to see robust growth across all areas of our business. Our revenues, EBITDA, total assets and net assets all improved, reinforcing the strength of our business model and the value we bring to communities and cities worldwide."
He also reported a 33% increase in rides compared to 2023, with nearly 10 million journeys, emphasising the escalating demand for smarter, greener, and more efficient transport solutions that prioritise people.
Mr Ellis' report from the firm has identified "several key risks and uncertainties" facing their growth, citing needs such as Government investment, pending e-scooter legislation, disruptions in global supply chains, alongside capital expenditure and cashflow considerations.
He said: "Our business requires significant capital expenditure for assets with long-term payback periods. While this strategy ensures sustainable growth, it impacts short- to medium-term cashflow, requiring careful management of financial resources."
While acknowledging hurdles faced by the industry at large—highlighting Bird's liquidation and Tier and Dott's merger in Bath and Bristol—the report forecasted an abundant future for the "micromobility market", projected to surge to a whopping US$520bn value by 2035.
The review recognised the mainstream economic headwinds but also said there were "many opportunities".
Mr Ellis added: "As we move into 2025 we remain optimistic about the future."
This month, news emerged that docking bays for Beryl's rentable electric bikes are being removed across Plymouth, with the firm focusing on select key areas like the city centre to offer a more "streamlined" service. Over 50 locations have seen the removal of these bays, yet the scheme's fleet of 450 e-bikes will stay, now centralised in areas of higher usage.
Beryl communicated the changes to its users via an in-app message on April 8. A user expressed their concerns to PlymouthLive, stating: "Most neighbourhoods are being completely abandoned".
