Management agenda and outlook

We continue to see strong growth momentum in Europe driven by electrification, government incentives and investments in infrastructure.

We see improved results of our continuing operations and promising developments in many areas within the group, clearly demonstrating that we are on track to deliver our medium-term financial targets. With the majority of our additional investment related to the strategy 'Lead Global. Win Local' behind us, our focus is now fully on perfect execution and continuous optimisation of our processes, especially in the areas of sales & operations planning, our innovation process and data harmonisation.

Main drivers of growth in 2020 will be innovations such as Dutch bike of the year Batavus Finez, Haibike Flyon, Lapierre Xelius, Ghost Superfit and the new high-end e-cargo bike under the Carqon brand, B2B opportunities similar to the high volume deal for the Dutch National police, bike leasing in general and last but not least strong promotions.

We believe to be well on track to meet our medium term financial targets. Based on our management agenda we expect further growth of net turnover and EBIT (excluding one off’s) under normal operating conditions. However the full impact of the Corona crisis on our business is unclear yet and we are monitoring the situation closely. Risk mitigating action are being taken. Our current inventory levels provide for some buffer but we anticipate longer delivery times for certain components which may delay the introduction of several new innovative bike models.