Solid Year For Halfords As Profits And Sales Edge Higher

Halfords’ Chief Executive Jill McDonald today hailed the company’s “solid performance” after making market share gains and posting slightly higher group sales and profits.

For the 52 weeks to 1 April 2016, pre-tax profits edged up 0.5% to £81.5m on total revenues that increased 1.5% to £1.02bn. The retail division saw sales rise 1.2% to £868.5m with like-for-like growth of 1.3%.

Within the retail division, cycling like-for-like sales fell 0.9%, whilst motoring related products saw growth of 2.5%.

The group said that it refurbished of 25 of its retail stores during the year and that its ‘Moving Up A Gear’ strategy launched in November 2015 was making good progress.

McDonald commented: “This was a solid performance and we gained market share in both our motoring and cycling divisions.”

NAM Implications:
  • Given the flat-line environment, even 1.3% like-for-like may satisfy the investors
  • However, key for suppliers has to be how your like-with likes compared…