Despite the higher sales, the company recorded a significant decline in profitability. Operating profit fell by 27.8 percent to 36.6 billion yen (around CHF 209 million), while net profit fell by 61 percent to 16.1 billion yen (around CHF 91 million). The core business with bicycle components, which accounts for more than three quarters of Group sales, developed weaker than expected in operational terms. Segment sales rose slightly to 266 billion yen (around CHF 1.52 billion), but operating profit fell by 27 percent. 

The main reasons for this are weaker sales markets in Asia, particularly in China, and persistently high inventories at dealers. For the full year 2025, Shimano is now forecasting sales of 460 billion yen (around CHF 2.62 billion). 

Operating profit is expected to be 46 billion yen (around CHF 262 million) and net profit 30.5 billion yen (around CHF 174 million). This means that although management expects a slight increase in sales of around two percent, profits are expected to fall by around 60 percent compared to the previous year. The operating margin is likely to fall from 38% in 2024 to around 35%. 

The proportion of foreign business remains high - around 91% of sales are generated outside Japan. Production is distributed almost equally between domestic and foreign locations. Shimano plans to invest 50 billion yen (around CHF 285 million) in 2025 to modernize production capacities and develop new product lines. Depreciation is expected to amount to 27 billion yen (around CHF 154 million).

Active capital policy

The company also responded to the market changes with an active capital policy. Between January and September 2025, 2.15 million treasury shares were repurchased; in May 2025, 1.41 million shares were retired in order to optimize the capital structure. Shimano emphasizes that the results are solid under the current economic conditions, but that the industry continues to be characterized by global uncertainties, geopolitical tensions and fluctuating currencies.

Long-term: growth

In particular, demand in Europe and North America remained stable, while the Chinese market was weak. The company sees this as a short-term challenge, but expects a recovery in the medium term due to increasing demand for high-quality components for e-bikes and premium road bikes. Shimano confirms that it will continue its long-term growth strategy, focus on innovation and quality and at the same time further increase production efficiency. 

bike.shimano.com