DGAP-News: REF Bike Holding GmbH / Key word(s): Market Report/Annual Results
BIKE24 gets 2021 off to a strong start after record year 2020
Dresden, 17 May 2021 - More and more people in Europe are getting on their bikes. The desire to get from A to B with low emissions is an important reason for this development. BIKE24 has been part of the trend towards green mobility since the company's founding. Because with every saddle, helmet or bike sold, the company encourages its customers to use their bikes more frequently. Now biking enthusiasts are also getting support from politicians: In order to make Germany a "bicycle country", the federal government plans to invest 1.46 billion euros in projects that include cycle paths and parking garages for bicycles over the coming years.
The cycling megatrend has given BIKE24 a very strong start into 2021 after record results in 2020 with revenues of almost 200 million euros and an adjusted EBITDA (earnings before interest, taxes, depreciation and amortisation) of 26.7 million euros. In the first quarter, the online retailer increased its revenues by around 75 percent compared to the same period last year. Co-founded by Andrés Martin-Birner in Dresden in 2002, BIKE24 is now one of continental Europe's leading e-commerce bicycle platforms. The online retailer with a focus on the premium segment has seen strong growth over the last three years in particular. Since 2018, the growth rates have averaged 30 percent per year. The company's wide range of products includes not only equipment, bicycle parts and clothing, but also bicycles, which were one of the key growth drivers. In 2020, sales of traditional bikes increased by around 80 percent compared to the previous year, and e-bikes more than doubled.
The figures for the overall European market also show that bicycles and related parts, accessories and clothing have been on the rise for years, partly due to increasing environmental and health awareness. The European market was worth around 22 billion euros in 2019 after continuously strong growth in recent years, with Germany alone contributing around six billion euros.
The bike boom can be observed above all in urban areas, where more and more people are making their everyday trips by bike. Some cities and metropolitan areas have recently reacted to this with, among other things, high-speed cycle lanes and pop-up cycle tracks. Germany's Federal Transport Ministry is now promoting the development of new ideas on this topic as well as on the further expansion of already established concepts. It is funding better and safer cycling infrastructure in Germany with 1.46 billion euros until 2023. Among other things, the money is to be spent on the expansion of cycle path networks in cities and in the countryside as well as into the installation of parking facilities for bicycles. In addition, there are plans to promote, for example, courses of study and model projects related to cycling.
The initiative launched by the federal government should further boost the bicycle market. Already, cities that have set up pop-up bike lanes are seeing an increase in bicycle use. According to the Federal Transport Ministry, over 40 percent of Germans plan to cycle more in the future. Increased safety and comfort will further drive this development. This not only benefits the environment, but also eases the traffic and parking situation in cities and, last but not least, every kilometre cycled also means additional exercise for the cyclist.
17.05.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
REF Bike Holding GmbH
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