Evans Cycles’ full-year pre-tax profit slumped 70% to £269,000 as it investment in its operations.
However, turnover at the bicycles retailer surged 11% to £104m, according to documents filed at Companies House.
EBITDA fell 5% to £3.9m in the year to November 3, while operating profit declined 44% to £809,000.
Wilkinson said the profit fall was due to investment in new stores, the website and new IT systems, while the weather across the year also hit the retailer’s performance
He told Retail Week: “We continued investing in stores and systems despite it being a tough year. We achieved sales growth and flat profits, which we are proud of.”
Wilkinson said since year-end Evans Cycles’ multichannel offer was performing well and click-and-collect orders rose 90% year on year, boosted by its website relaunch at the beginning of the summer.
The retailer plans to improve its online offer to cater for increasing numbers of overseas customers this year.
Its road bikes performed “very strongly” helped by the launch of its new Hoy bikes, designed by Olympic cycling champion Chris Hoy. Wilkinson said the customer response has been “fantastic” and it has plans to launch a children’s range.
Meanwhile, it benefited from sales of bikes through the Cycle to Work Schemes it operates with corporate companies.
Wilkinson said he was “satisfied” with the impact the Olympics had on sales and said he believed there were opportunities for the cycling market to grow.