Halfords has reported a surge in sales for the past half-year, boosted by warm summer weather, with group like-for-like sales up 7.1% compared with the same period a year earlier.
The Redditch-based retailer, which operates 367 Halfords stores, two performance cycling stores and 497 consumer garages, said it saw positive momentum in the six months to October 2. The growth included a 7.7% rise across its retail operations, with a 7.3% increase in its motoring arm and an 8.3% jump in cycling sales. The group's autocentres business reported a 6.1% sales increase.
Warm weather boosts seasonal categories
Halfords said its first-half growth was supported by the firm's strategy and positive demand for "seasonal categories" during the summer. In August, the company improved its profit outlook on the back of strong sales for products such as bikes, camping and air conditioning services during the unusually warm weather.
The company said it remains on track to deliver an underlying pre-tax profit of between £55 million and £65 million for the current financial year.
Shares fall on investment plans
Despite the sales uptick, shares in Halfords were 8.3% lower on Wednesday morning after the company indicated that investment plans will weigh on profitability in the second half of the financial year.
Henry Birch, chief executive of the business, said: "The business continued to perform positively through the first half as we benefited from good execution against our strategic priorities and strong sales of seasonal categories through the warm summer weather."
Birch added: "We move into the second half with confidence and look forward to sharing more detail on our progress at our interim results announcement later next month."
