Quebec-based Dorel Industries, which makes infant car seats and home furnishings, reported Q4 and full year revenue highlighted by a strong demand for its other staple product: bicycles.
The Dorel Sports cycling division, which includes brands Schwinn, GT, and Mongoose, saw Q4 sales increase 13.8% year-over-year to $265.3 million.
Overall Dorel Sports’ revenue increased 14.9% to $1.04 billion, and company-wide, Dorel Industries reported $2.76 billion in revenue for the full year, a 4.9% increase.
Dorel President and CEO Martin Schwartz expects another significant revenue bump in the first quarter of 2021. “Despite the industry-wide reality of component availability limiting production and higher costs, the year is starting very strongly,” he said.
Dorel’s unsuccessful attempt to go private was part of the reason the company incurred $7.5 million in fourth-quarter costs. Schwartz said shareholders’ formal termination of the privatization process in February was a vote of confidence for the company’s potential as a public entity.
Shares in Dorel Industries have dropped 8% since the beginning of the year, but its stock price has increased five times over in the past 12 months.