Chang Hua, Taiwan – Merida has released its financial statement for the first half of 2107. While total sales revenue for the entire group was down by 7% YOY at NT$12,129 million (approx. US$ 400 million), profits nosedived by nearly 50% YOY to NT$447.32 million (approx. US$ 14.76 million).

The company put the poor results as due to the difficult situations with foreign exchange rates, lower margins and frozen China market. From January to the end of June, the company shipped 754,237 units, down 24.71% from the same period the previous year.

Sales from Merida Taiwan factory grew by around 2%, but the profit was down due to unfavorable exchange rates and lower margins. Merida China factories saw a larger decline in sales due to the impact from weaker domestic market and the shared-bike market. Sales in China dropped significantly and there was loss in the first half of 2017.

A financial statement released by the company commented that “As the production is becoming smoother and the capacity has grown, the factories will start to catch up on the delayed orders and the second-half result is expected to be better than the first-half.”