Signa Sports United generated $237 million in revenue in Q1 2022, an 11% increase compared to the same period the year prior.
The German bicycle and tennis equipment retailer attributed the growth to two acquisitions, as well as an increase in consumer interest despite COVID-related restrictions and supply chain disruptions.
- Signa reported 7.4 million active customers in Q1, a 76% increase year-over-year.
- The company expects full-year revenue to range between $1.4 billion and $1.5 billion.
Signa went public in December 2021 via a merger with Yucaipa Acquisition Corporation, a blank-check company led by Pittsburgh Penguins part-owner Ronald Burkle. Signa raised $484 million during the transaction, valuing the company at $3 billion.
The same month, Signa took advantage of the fresh capital with the acquisitions of Tennis Express and online cycling store Wiggle, which has annual sales of roughly $500 million.
Signa is reportedly close to securing an investment worth more than $370 million from a group that includes Saudi Arabia’s sovereign wealth fund, the Public Investment Fund. The capital will be allocated toward expanding Signa’s presence in the U.S.
As of June 2021, the company earns roughly 10% of its total revenue in the U.S., primarily from its Tennis Express and Midwest Sports properties.