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On the 20th, when the weather was fully autumnal, citizens visiting Mangwon Hangang Park in Seoul enjoyed riding bicycles. Photo by Yoon Dong-joo dso7@

[Asia Economy Reporter Kim Heeyoon] As social distancing has become routine due to the impact of the novel coronavirus disease (COVID-19), the bicycle industry is smiling broadly day after day.

According to the bicycle industry on the 1st, Samchully Bicycle's electric bicycle sales in the first half of 2020 increased by more than 65% compared to the same period last year. Sales across the entire lineup, including electric bicycles, surged significantly, resulting in a 507% increase in operating profit for the first half compared to the same period last year.

Samchully Bicycle explained that the increase in bicycle demand due to social distancing caused by the spread of COVID-19 had an impact. In fact, Samchully Bicycle's electric bicycle sales from January to April grew by 34% compared to the same period last year.

Alton Sports is also showing growth, escaping the risk of delisting thanks to a rebound in the first half. Alton Sports recorded sales of 24.2 billion KRW in the first half of this year, marking a 12% increase compared to 21.5 billion KRW last year. Operating profit also turned positive at 3.2 billion KRW, reversing last year's operating loss of 2.9 billion KRW.

Alton Sports, which signed consecutive bicycle supply contracts with Seoul Facilities Corporation and Kakao Mobility in June, explained that it will focus on expanding bicycle supply through business-to-business (B2B) transactions and strive to achieve an annual turnaround to profitability.

Due to the impact of fine dust, the bicycle industry struggled last year. On a consolidated basis, Samchully Bicycle recorded an operating loss of 8.2 billion KRW, and Alton Sports recorded 10.6 billion KRW. In particular, Alton Sports had recorded losses for five consecutive years and was on the verge of delisting.

However, as social distancing became full-scale with the spread of COVID-19, demand for contactless outdoor activities increased, giving the bicycle industry a chance for revival. Additionally, as a beneficiary industry of the government's Green New Deal policy, stock prices have been showing strong performance day after day.

Typically, the bicycle industry interprets the second half of the year as an off-season, but this year, they plan to secure momentum through new smart mobility businesses such as electric bicycles and electric kickboards. A bicycle industry official said, "The spread of contactless culture due to COVID-19 drove bicycle sales performance in the first half. To meet the explosive demand, we will continue growth by producing various products to resolve poor performance."

This content was produced with the assistance of AI translation services.