Summary
A complicated year 2024 for bicycle manufacturers
The end of the year 2024 proves to be particularly difficult for manufacturers of mechanical and electric bicycles. A Dutch company has recently gone bankrupt after the failure of its buyout. Among the companies that have encountered financial difficulties this year are Pilot Cycles Simplon in Austria, WATT in the Netherlands, Timyo in the Netherlands, Fuell in France-USA, Stella in Germany, Smafo in Germany, Amslod in the Netherlands, and recently Cargoroo also in the Netherlands. The list of companies affected by the economic crisis in the bicycle sector continues to grow as 2025 approaches, reflecting an industry in trouble, facing inflation, a decline in demand, and overstocking.
The bankruptcy of Pilot Cycles
Recently, bankruptcy was declared by a small Dutch company, Pilot Cycles, on December 24. Although a buyout by Cosinus Group Capital Partners was considered, this project failed, leaving the leaders without any other possible solution. The company was notably specialized in the manufacture of MTB, road bikes, and gravel, particularly in titanium.
A fragile financial situation
According to financial reports filed with the Chamber of Commerce, Pilot Cycles had been in deficit for several years. In 2019, the company showed negative equity of 48,891 euros. The deficit peaked at 295,882 euros in 2021, before reducing to 206,679 euros the following year. The figures for 2023 and 2024 have not been disclosed.
An uncertain future
Advanced discussions had been initiated with Cosinus Group Capital Partners for a buyout, but no final agreement was reached. The reasons for the failure of the negotiations remain unclear. It remains to be seen if the administrator in charge of the bankruptcy process will be able to revive the company.
