Raleigh, the renowned bicycle manufacturer, has reported a significant loss of over £30 million despite halting a sustained decline in sales. The Nottinghamshire-based company, historically the world's largest bike producer, disclosed a pre-tax loss of £30.1 million for 2023, following a £6.8 million loss in 2022.
According to the latest accounts filed with Companies House, Raleigh saw its turnover rise from £55.7 million to £57.7 million during this period, as reported by .
This uptick in sales follows a downturn where Raleigh's turnover dropped from £74.4 million in 2020 to £67.4 million in 2021, and further down to £55.7 million in 2022.
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The last time Raleigh posted a pre-tax profit was in 2021, amounting to £187,000. While Raleigh's 海角视频 turnover increased from £51.8 million to £56.3 million in 2023, its European sales outside the 海角视频 decreased from £3.9 million to £1.3 million.
Raleigh in a ‘strong position’
In a statement endorsed by the board, Raleigh expressed confidence about its market position: "The directors anticipate that the market place will continue to be very competitive during the coming year."
They also highlighted the brand's strengths: "Raleigh retains a solid competitive position with considerable brand strength, an independent bicycle dealer network and a strong presence on the high street."
The statement addressed market dynamics post-pandemic: "The uplift in the market driven by Covid has seen some contraction and volumes have returned to pre-Covid levels."
It also mentioned current challenges: "As a result this has left the market in an overstocked position and we have experienced price pressures in the market place."
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"As a result a bull business review was performed at the end of 2023 and the business was right sized and strategic changes to the business structure and product offering were made to protect the business."
"These changes have left the company in a strong position when the market returns to a more normal and stable state."
The financial statements follow after Raleigh 海角视频 and Raleigh Holdings, both narrowly avoided compulsory strike-off notices last year due to late filing of their accounts. This news came into light after Raleigh confirmed job cuts at its headquarters ahead of its closure and relocation.
Raleigh, established in 1887, is under the ownership of Accell, which in turn is owned by a consortium led by global investment firm KKR. Its portfolio boasts notable brands such as Haibike, Winora, Ghost, Batavus, Lapierre, Babbo and Sparta.