Dorel suffers drop in sales - due to poor spring weather
This second-quarter turnover of the Dorel Group fell by 5.2 % to USD 633.7 million compared to the same period of the previous year. Net profit even fell by 56.4 % from USD 30.3 million to USD 13.2 million in the same period of the previous year.
Dorel President and CEO Martin Schwartz believes this decline in sales is mainly due to the weather - according to Schwartz, the sales-intensive bike season got off to a very late start due to poor weather in Europe, the USA and Canada. This poor business performance in spring led to high stock levels and provoked early discounts, which depressed profits.Dorel's bicycle division comprises the Cannondale, Schwinn, Mongoose, GT and Sugoi brands. As business figures were already declining in the first quarter of 2013, around 50 employees worldwide in Dorel's bicycle division were made redundant this summer.Note: This content has been automatically translated from German. Please report any incorrect translations.