Oct 21 (Reuters) - Bicycles-to-car parts retailer Halfords posted a rise in like-for-like first-half sales on Wednesday and retained its annual profit forecast, as extended summers helped push sales of cycling, outdoor and camping equipment higher.
Here are some details:
• Group like-for-like sales grew 7.1% for the 26-week period to October 2
• The firm reaffirmed its annual adjusted pre-tax profit of between £55 million and £65 million ($73.52 million and $86.89 million)
• Halfords shares, however,
fell as much as 9.7% to 251 pence in morning trade and were down 7.7% as of 0751 GMT
• The stock has nearly doubled in value so far this year and had hit a near five-year high on Tuesday
• "Shares are up 97% year to date so some profit taking is not unusual," Investec analyst Kate Calvert said
• Halfords has benefited from consumers snapping up camping gear, iceboxes and bicycles amid an unusually warm summer this year even as they grapple with rising costs arising from the Iran war
• The firm has also been helped by its turnaround plans, launched in 2025 by new CEO Henry Birch, focussing on pricing, growing its motor services arm and expanding into the higher-margin e-bikes market
• Halfords said its underlying profit before tax for the year will be weighted towards the first half, as it invests more in marketing and technology
($1 = 0.7481 pounds)
(Reporting by Prerna Bedi in Bengaluru; Editing by Mrigank Dhaniwala)
