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 margin, strict cost discipline, and focused marketing.

• Sales grew by 1–1.5% overall in Q2, with DACH region up 8%, BENELUX up 14%, and full-bike segment sales up 10%; France, Italy, and Spain declined 20%.

• Free cash flow improved to €1.9m in Q2 2024 from -€6.9m in Q2 2023, supported by EBITDA gains and inventory reduction.

• Profitability per customer increased 28.5% in Q2 2024, with a shift toward more profitable core customers.

• Full year 2024 guidance confirmed: sales growth between 1% and 5%, and adjusted EBITDA margin between 0.7% and 4.2%.

Financial highlights

• Q2 revenues increased by 1.5% year-over-year to €63.8m; H1 2024 revenue was €113.1m, down 4.3% year-over-year.

• Gross margin improved by 190 bps to 27.7% in Q2 2024; H1 2024 gross margin was 26.6%.

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

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

• Net working capital reduced by 26% year-over-year to €60.5m; inventory down 20% to €71.6m.

Outlook and guidance

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

• Q3 started well with rising incoming orders and robust demand expected to continue.

• Inventory levels expected to be below €70m by year-end, 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 remain a priority into next year.