Halfords sales rise 7.1% in first half as retail and autocentres accelerate

Key Facts

Halfords reported group like-for-like sales growth of 7.1% in its fiscal first half, according to its October trading update, with sales growth accelerating from the corresponding period. The update covered the 26 weeks ended 2 October, spanning the first half of the group's current financial year. Group like-for-like sales rose 4.1% in the previous fiscal first half, according to Investing's coverage of those results. The latest acceleration was accompanied by growth in retail, cycling and autocentres, according to figures released by the company. Compared with the previous first half, retail and autocentres accelerated, while cycling continued to grow at a slower pace than in the corresponding period.

Retail like-for-like sales rose 7.7% in the current first half, according to Halfords' statement, outpacing growth across the group. The division recorded an increase of 4% in the previous fiscal first half, according to Investing's coverage of the earlier results. Retail sales growth therefore accelerated from the corresponding period, as purchases of summer products benefited from the weather. Reuters reported that unusually hot summer weather encouraged shoppers to buy camping equipment, cool boxes and bicycles. The summer-related boost to demand covered these products sold by the company, alongside an increase in retail sales growth from the previous first half.

In cycling, like-for-like sales rose 8.3% in the current fiscal first half, according to figures in the company's update. This followed an increase of 9% in the previous fiscal first half, according to Investing's coverage of the corresponding period's results. Cycling growth remained above the retail growth rate in the current period, despite slowing from the previous first half. Bicycles were among the purchases supported by unusually hot summer weather, alongside camping and cooling products, according to Reuters. Compared across divisions, cycling followed a different trajectory from the broader retail business, continuing to increase sales while retail sales growth accelerated from the corresponding period.

Autocentres recorded like-for-like sales growth of 6.1% in the current first half, excluding Avayler, according to Halfords' update. The centres posted growth of 4.3% in the previous fiscal first half, according to figures published for that period. Sales growth in the servicing business therefore also accelerated, alongside the acceleration recorded in retail during the current first half. The centres' reported growth rate remained below both retail and overall group growth during the period covered by the update. The centres' performance contributed to the increase in sales across Halfords' businesses, while the summer boost reported by Reuters related to purchases of bicycles, camping equipment and cool boxes.

On earnings, Halfords maintained its annual adjusted pre-tax profit forecast in a range of £55 million to £65 million, according to Reuters. The company raised its guidance in August, when market consensus for underlying pre-tax profit stood at £52.6 million, according to Investing. The range announced at the time exceeded that consensus even at its lower end. Following the guidance increase in August, Halfords shares rose 11.56% to 268.85 pence, according to coverage of that trading session. The October update confirms that the annual profit forecast remains within the range announced by the company after its summer performance, while the share-price move cited relates to the August update session.

Halfords said in its August update that it planned to increase spending on technology and marketing in the second half, according to Investing's coverage. It said it would "increase spending on technology and marketing in the second half", as part of the investment plans announced in that update. The company linked this spending profile to its expectation that profits would be weighted towards the first half of the financial year. The confirmation of that course in October follows the earlier announcement of accelerated investment, with the annual profit range maintained. Halfords plans to announce its half-year results on 26 November 2026, the next reporting date set by the company after the sales update.