Accell Group, parent to Tunturi and Bremshey home fitness brands, said it continues to downsize its presence in the sector, as its fitness sales fell to account for just 3 percent of its total business in 2011.
Accell’s fitness revenue fell 26 percent in 2011 to EUR 21 million ($28.1 million), along with a wider operating loss of EUR 1.4 million ($1.9 million), compared to 2010. The drop largely was due to the company’s reorganization in North America, where it downsized and reorganized its distribution model during the year.
Despite the fitness decline, Accell’s main business in bicycles, parts and accessories fared well in 2011, lifting the company’s full-year revenue by 9 percent to EUR 628.5 million ($841.9 million) with net profit rising 11 percent to EUR 40.3 million ($54 million).
A rise in electric bicycles, particularly in Germany, helped lead the way, Accell officials said. Electric bicycles now account for 31 percent of the company's business.
--Compiled by David Clucas