Shimano’s 2021 operating income up 80% over 2020

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Although it’s pretty tricky to discern what any sort of net profit was made, by any stretch 2021 was clearly something of a bonkers year for Shimano’s bike division.

Shimano have something SRAM currently don’t: ebike motors

Kudos to Bicycle Retailer for bringing this story to light. While it will come as no surprise to many that a major bike component brand had a successful period during The Era Of Covid, it is still illuminating to see some numbers about it.

As it happens, 2021 was Shimano’s 100th birthday, and its operating income and sales were record-breaking for the company.

Purely in Shimano’s bike division (yes, not including their fishing department* which no doubt saw similar pandemic boomtime) the net sales were reportedly up 49% and operating income was up 82.7%.

*Shimano’s fishy sales were up approx 28%

Now then, some caution is advised when inspecting such striking stats. The key thing to bear in mind was that most of this data is referring the start of 2021 to the start of 2020 (when Covid first brought the world to a standstill).

But if you compare 2021 to the previous record-holding year of 2015 (or just do what we did and copy Bicycle Retailer’s homework), sales are still revealed as being up around 40%.

As for as the future is concerned, Shimano is predicting around a 6% sales increase for 2022.

Shimano’s report: “There is concern that the global economy will be weighed down by the infection spread of new, highly infectious variants, and that shortages of semiconductors and electronic components, rising prices of raw materials, tight logistics, a labor shortage, and other problems may further worsen. However, interest in outdoor leisure activities that can avoid people crowding is expected to continue”.

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Viewing 9 posts - 1 through 9 (of 9 total)
  • Shimano’s 2021 operating income up 80% over 2020
  • happyevolver
    Full Member

    Net sales up when you’ve excluded the fishing department? How can that be?

    Full Member


    Full Member

    Isn’t one of the reasons for the upswing in Op income due to Shimano’s main Malaysia factory returning to full capacity after covid controls limited the workforce size to 60% of usual headcount?

    Full Member

    Income and sales figures mean nowt without margin numbers. That said I’m sure they’re not turning a loss!

    Full Member

    Means nothing as said let’s see margins and ponder so what? Do we not need Shimano to turn a profit?

    Full Member

    Operating income is a measure of profit (pretty much profit before interest & tax), so if sales are up 49% and operating income up 82.7%, then profitability has increased.

    Full Member

    then profitability has increased.

    Could be.
    Could also be that pandemic costs, R&D etc have risen..but not sure by that much!

    Full Member

    As others say, almost all businesses contracted in terms of income due to COVID, bar those that benefited from COVID (peleton, PPE manufacturers and the likes), so you’d expect them to be up on last year, and again, you’d expect another climb this year to catch up on the order book.

    Full Member

    Every time my old job had a bad year, we’d blame it all on environmental impacts, unique competitor events, and demographics. Then when we reverted to the mean, we’d celebrate how ****ing awesome we were and what a huge success it was.

    Obviously this isn’t just a reversion to the mean but put all the figures over a 10 year span and things will make some sense.

Viewing 9 posts - 1 through 9 (of 9 total)

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