Evans Cycles: Big loss revealed in delayed results for brand owned by Mike Ashley’s Frasers Group
Significantly delayed accounts for Evans Cycles have revealed how far the brand, which is owned by Mike Ashley’s Frasers Group, has slumped further into the red.
According to results for the year to April 30, 2023, which have only just been filed with Companies House, Evans Cycles slipped to a pre-tax loss of £23.2m.
The business had also made a loss of £5.2m in the prior 12 months.
The accounts had been due to be filed with Companies House by the end of January this year.
Its results for April 30, 2024, are now expected to be published by the end of January 2025.
Evans Cycles has been owned by Frasers Group after it was acquired in October 2018 in a pre-pack administration deal.
While Frasers Group announces its results to the London Stock Exchange, they do not include the detailed financial performance of Evans Cycles.
The accounts also show that its revenue increased slightly from £45.3m to £45.8m over the year.
Evans Cycles said that its revenue increase because of a rise in the retail floor space it occupied during the year while its losses widened because of supply chain issues.
A statement signed off by the board said: “Management believe the company has performed strongly in the period even with the well-publicised supply chain issues with bicycles.”
Mike Ashley’s Frasers Group hails ‘significant progress’ despite profit cut
Frasers Group recently reported a pre-tax profit of £507m for its year to April 28, 2024, down from £638m.
Its revenue also dipped slightly from £5.46bn to £5.42bn over the same period.
At the time, chief executive Michael Murray said: “This has been a break-out year for building Frasers’ future growth.
“As well as delivering a strong trading performance, particularly from Sports Direct, we made significant progress with our elevation strategy.
“We expanded our retail ecosystem, establishing valuable partnerships with new brands.
“Our brand relationships have never been stronger, giving us invaluable support as we continue the international expansion of our business.
“We invested in group-wide operational efficiencies in warehouse automation and digital infrastructure, which we expect to yield a tangible impact as early as FY25.
“And we generated new growth opportunities with the rollout of Frasers Plus, including recently signing our first third party partner in THG.
“I’m really proud of what we have achieved at Frasers this year and would like to thank all colleagues for their continued hard work and our brand partners for their support.
“Together, we are building a resilient, profitable growth retail ecosystem that delivers exceptional value for our partners, consumers and shareholders.
“We have built a lot of momentum this year and are entering the new financial year with many exciting growth opportunities ahead of us, which we will continue to invest in for the long-term benefit of the group.”