Giant’s Sales Were Down—It’s Turning To E-Bikes For Growth

Giant Group, the worldwide parent for Giant Bicyclesreleased its 2023 financial report. showing the company had NT$76.95 billion ($2.44 billion) in sales, which represents a 16.4 percent decline in year-over-year sales.

Giant attributed some of the decline in sales due to a drop in entry-level and mid-level products in both North America and Europe. Even a huge growth in sales in China was unable to overcome the slump.

The sales drop hit Giant’s profit hard, with the company’s net profit before tax shrinking to NT$4.8 billion, while after tax profit ticked in at NT$3.4 billion. Earnings per share were NT$8.68 ($0.27); the board approved a dividend of NT$5 ($0.16) per share.

Giant’s fortunes do not look to be improving in 2024. January sales were reported to be down 18 percent from 2023 and February was down even further, off by 27 percent.

E-bikes made up 30 percent of Giant’s total sales in 2023, including both those sold under the Giant name and those produced for other brands.

“E-bikes not only align with the current green energy trend but through product diversification, new innovative products developments and offerings would cater more towards consumers’ lifestyle and broaden global cycling population,” the company said.

While the company saw a net decrease in e-bike sales in 2023 compared to 2022, the company sees e-bikes as “the main growth driver in the cycling market.”