, two consecutive quarters of falling sales this year has again prompted Shimano to revise its forecasts for 2023. The Osaka-based brand now says it is expecting sales of ¥450 billion for the year, which would mark a 40 percent fall on its 2022 sales. That figure is also down from the ¥460 billion forecast at the end of the first quarter, which itself was below the ¥500 billion in sales expected at the start of the year.
These downward trends were reflected on the Tokyo stock market, where Shimano’s shares fell by 3.8 percent on Wednesday, after dropping by 5.8 percent when the figures were initially released. However, Shimano remains confident about the long-term success of the cycling industry, as it experiences a slowdown in the wake of the Covid-19 lockdown-influenced boom of recent years.
“Although the strong interest in bicycles cooled down as progress was made toward recovery to pre-Covid-19 day-to-day routines, interest in bicycles continued as a long-term trend,” the company said in a statement today. The cooling demand, delayed fulfilment, and high inventory levels cited by Shimano have affected nearly all sections of the bike industry during a difficult 2023., with director Colin Williams citing the impact of Brexit, the complexities and restrictions surrounding UK and EU trading, and the difficulties facing the industry in the post-Covid lockdown period as the main reasons behind the distributor’s demise.