GoPro Bounces Back
After a 54.1% drop in Q3 last year
, Go Pro bounced back with a 40% growth year on year in Q4. It pulled in $1.2 billion up to December 31 following the release of its Hero 8 camera and the Christmas period. This means that despite the weak Q3, revenue for the company increased by 4% over 2018, which rises 7% if you don't include the drone business.
The drop in October was credited to a production delay with the new Hero 8 cameras, which shifted the bulk of its sales from the third quarter to the fourth quarter. Unfortunately, GoPro had already announced the camera, which meant demand for the Hero 7 fell as it was no longer the brand's flagship camera
Nicholas Woodman, GoPro Founder and CEO said, "GoPro achieved both revenue growth and full-year non-GAAP profitability in 2019 due to strong sell-through throughout the year and the fall launch of our two new flagships, Hero8 Black and Max
. We believe we are well-positioned to meaningfully expand both margin and EPS in 2020 thanks to the strength of our entire product line, high-margin Plus subscription service and app monetization strategy."Shimano Grows its Bike Division
Shimano's bike division grew by 4.6% over 2019 with total sales of ¥290,038 million ($2.64 billion USD). The growth mainly came in Europe, where favourable weather conditions buoyed sales, however sales remained stable in the USA. Also helping sales were the new Deore XT
and GRX drivetrains, while the Steps motor continued to be popular.
Looking to the future, Shimano voiced concerns around " US-China trade issues", "heightened geopolitical risks in Middle East" and "Brexit turmoil" as potential issues for the global economy and its own business. Despite this, it forecasted a further 2.2% net sales growth in its bike division for 2020 to ¥296,500 million ($2.7 billion USD). MIPS Posts 39% Sales Growth in 2020
MIPS posted a 39% sales growth in 2019 that included a 41% growth year on year in Q4. For the year, net sales were 267.9 million Swedish Kroner ($27.6 million) with operating profit increasing to 108 million Swedish Kroner ($11.1 million).
MIPS now has more than 100 customers however it states that its main customers are the driving force behind its growth and notes that it has doubled its sales to its European cusotmers.
Max Strandwitz, president and CEO, also voiced fears about the shutdown of Chinese helmet factories due to the outbreak of Coronavirus. He said: "It is of course difficult to predict the future outcome of the virus outbreak. However, we know that it will take some time before the Chinese manufacturers reach full production capacity due to the prolonged Chinese New Year and the gradual ramp up in production, which could lead to certain accrual effects for us."Dassi Enters Liquidation
Dassi is a brand we've only mentioned in passing on Pinkbike
but they are certainly interesting as they have been the brand pushing Graphene hardest in cycling and launched the first graphene frame in 2016. The brand had also recently announced a graphene disc rotor that was said to weigh 16.9 grams. Unfortunately, it now seems like the brand has wound up and entered liquidation. Cyclist
reports that the brand appointed a voluntary liquidator, Antony Batty & Company LLP, following a meeting of creditors on 20th January. It's a shame this ambitious start-up never got to properly show how graphene can be integrated into cycling components but we're sure it won't be too long before someone else takes on that mantle, given the claims around this supposed wonder material.