UK cycling retailer Sigma Sports posts losses for third year in a row but says latest accounts are 'positive'

Things are looking up for Sigma Sports, the cycling retail giant has said, despite posting losses of more than £1m, and spending a third consecutive year in the red.

Last week, the UK company published its financial results for the year to 31 December 2024, which detailed a loss before tax of £1,056,874. This, however, marked an improvement on the previous two years, in which losses amounted to £3,070,997 (2023) and £4,151,345 (2022).

Writing in the company’s accounts, chief financial officer Oliver Lawson said 2024 was a “positive year” for Sigma Sports.

“The years immediately following COVID were difficult for many retailers in the UK, with the cost-of-living crisis, rising inflation, global stock oversupplies, the invasion of Ukraine and other significant events all impacting consumer confidence,” he said.

“In cycling specifically, two major online retailers entered administration as the industry saw the lowest level of bike sales this century in 2023.”

Faced with the challenges, Lawson added, Sigma Sports remained “resilient”.

“In early 2024, sales slowed as the market was disrupted following the administration of a large player [Wiggle Chain Reaction Cycles]. However, from Q2 onwards, Sigma Sports saw an acceleration of performance, gaining market share,” he said.

Sigma Sports revealed a slight increase in turnover in its most recent company accounts, up from £43.1m in 2023 to £46.4m. The business relies minimally on the international market – 97% of its sales came from the UK in 2024 – and “do[es] not expect a significant impact from potential tariffs set by the US.”

Demand for sports equipment boomed during the Covid pandemic, as more people turned to cycling. During that period, Sigma Sports enjoyed soaring profits; in 2020, the company posted a pre-tax profit of more than £7.5m, following up with £6.5m in 2021.

The retail giant then experienced deep losses in 2022, plummeting to more than £4m into the red. Writing at the time, Lawson reflected on a “challenging year for retailers in the UK”, citing the post-Covid economic downturn, the impact of Russia’s invasion of Ukraine and rising interest rates. “All factors contribut[ed] to a decline in consumer confidence,” Lawson said.

As the latest accounts only cover the 2024 financial period, there is no numerical indication given of how the company has performed in 2025. This March, Sigma Sports received £1m of funding from its bank as part of a Trade Credit Facility. The following month, it opened its third retail store, adding Letchworth Garden City to its sites alongside Hampton Wick and Oakham.

Lawson continued that the company sees “significant opportunities for improvement and growth” in 2025.

Still, he added: “The Directors expect the backdrop of the UK's economy to remain challenging in FY25.”