Bike24 (BIKE) Q2 2024 earnings summary

Executive summary

• Adjusted EBITDA margin rose to 4.2% in Q2 2024 from 0.9% in Q2 2023, driven by improved gross margins, strict cost discipline, and focused marketing.

• Sales grew by 1.5% year-over-year to €63.8m in Q2 2024, with strong DACH (+8%) and Benelux (+14%) performance, while France, Italy, and Spain declined 20%.

• Full-bike segment sales increased 10% year-over-year, while PAC sales remained flat but with improved profitability.

• Free cash flow improved to €1.9m in Q2 2024 from -€6.9m in Q2 2023, with a stable cash position at the end of June 2024.

• Profitability per customer increased 28.5% in Q2 2024, reflecting strategic pricing and cost measures.

Financial highlights

• Q2 2024 revenue: €63.8m (up 1.5% year-over-year); H1 2024 revenue: €113.1m (down 4.3% year-over-year).

• Gross margin improved to 27.7% in Q2 2024 (up 1.9pp year-over-year); H1 2024 gross margin: 26.6%.

• Adjusted EBITDA margin reached 4.2% in Q2 2024 (up from 0.9% in Q2 2023); H1 2024 adjusted EBITDA: €1.2m (1.1% margin).

• Free cash flow: €1.9m in Q2 2024; €4.7m in H1 2024, up 162.6% year-over-year.

• Net working capital reduced by 26% year-over-year to €60.5m; inventory stable at around €72m.

Outlook and guidance

• Full-year 2024 guidance confirmed: sales growth of 1–5% and adjusted EBITDA margin of 0.7–4.2%.

• Management expects stronger growth and maintained or improved profitability in H2 2024.

• Inventory expected to end 2024 below €70m, with stable or slightly positive cash position if trends continue.

• Further debt reduction of €4m planned for H2 2024.

• Focus on profitability and margin improvement will continue into next year, with optimism for further market share gains.