Halfords reports slump in first-half profits

Bicycle and car parts retailer Halfords posted a 23 per cent slump in first-half profits this morning, as the ‘summer of sport’ failed to offset a poor start to the year.

Pre-tax profit before one-off items was £41.9m in the half year to September, down from £54.7m it made in the same period last year.

Revenue edged up 0.4 per cent over the period to £455.6m, helped by strong summer cycle sales. Like-for-like sales of cycling products were up 14.7 per cent for the second quarter, equalling out to 1.9 per cent for the half year.

Halfords said in its half-year results that it forecasts a group pre-tax profit of between £66m and £70m.

“We have a strong platform for sustainable growth; the management team retains its focus on active trading, cash generation, prudent cost management and the delivery of strategic objectives,” said chairman Dennis Millard.