Revenue slides at Halfords
The introduction of a new bicycle line has failed to boost overall sales at Redditch retailer Halfords.
Sales have declined 1.9 per cent on a like-for-like basis over the last six months, despite a boost from the new Carrera line.
In a trading statement for the six months to 30 September, the retailer said that motorists were continuing to be affected by adverse economic conditions.
However, the company said cycle sales had grown 5.7 per cent, which was helped with the launch of the Carrera in July and "strong sales of accessories".
Its fitting service division had also experienced a boost in revenue.
Group profit before tax for the first half of the year is expected to be in the range of £53m to £55m, said Halfords.
David Wild, chief executive, said: "The tough consumer environment which particularly affects motorists is continuing to influence spending patterns. We are taking constructive steps to protect our sales and profitability by delivering real value and service to our customers. There are clear signs that this strategy has had a positive impact in our stores through the summer and we are particularly pleased with the growth in cycles and fitting services.
"Our autocentres have shown impressive revenue growth, counter to the trend in the sector. This demonstrates how the Halfords brand is gaining traction in aftercare and justifies the long-term investments we are making."
