Connect with us

Hi, what are you looking for?

Editor’s Pick

Rush for bikes helps Halfords power into profit

Sales at Halfords shifted up a gear in the last quarter of 2020 as the bikes-to-car parts retailer rode a lockdown cycling boom.

Its shares jumped by almost 8 per cent, or 22p, to 299½p after it said that its sales had increased 11.5 per cent in the three months to January 1.

However, the company warned that bike sales were likely to be lower in the next three months of bad weather.

It added that it was still deciding whether to repay the government’s furlough money and would “provide an update when the Covid-19 situation becomes clearer”.

Halfords said that there had been a 35.4 per cent rise in like-for-like cycling sales, below the 49 per cent like-for-like growth in bike sales for the overall financial year so far. “Lockdowns weakened demand and supply chain disruption delayed stock arriving into the business,” it said.

Like-for-like sales of motoring products fell by 8.4 per cent in the third quarter, compared with an 18.2 per cent fall for overall the nine months.

On January 4, England entered its third lockdown. Halfords, which operates 443 stores and 367 repair shops, said that the hit to its motoring business was expected to be less severe than when the economy was first closed down last March, prompting many people to switch to cycling and away from using public transport or cars when the weather was fine.

Jonathan Rock, an analyst at Globaldata, the market research consultancy, said: “The cycling boom, responsible for much of the specialist’s growth this year, has begun to slow down just as it enters this winter decline.” The delay in a decision on furlough money suggested that “this is still necessary to the business”, he said.

Graham Stapleton, chief executive of Halfords, said: “We are pleased to have delivered a strong performance under hugely challenging circumstances, including our best ever Christmas week.”

Read more:
Rush for bikes helps Halfords power into profit

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

Latest

News

Manila and nearby cities will remain under a general lockdown next month amid a coronavirus pandemic, according to the presidential palace. President Rodrigo R....

News

PHILSTAR President Rodrigo R. Duterte on Friday night signed a measure creating a levy trust fund for coconut farmers, according to the presidential palace....

News

By Kyle Aristophere T. Atienza President Rodrigo R. Duterte on Friday signed a proclamation declaring fewer nonworking days this year supposedly to...

News

An inter-agency task force has approved a plan to inoculate FIlipino health workers against the coronavirus using vaccines from Chinese drugmaker Sinovac BIotech Ltd.,...

News

Philippine President Rodrigo R. Duterte on Friday night signed a measure that will fast-track coronavirus vaccine orders. “We are confident that the signing of...

News

The Philippine military is targeting to vaccinate 100 soldiers against the coronavirus daily once the first batch of vaccines from China’s Sinovac Biotech Ltd....

You May Also Like

When people envision technology overtaking society, many think of The Terminator and bulletproof robots. Or Big Brother in George Orwell’s Nineteen Eighty-Four, a symbol...

Financial Advisors

Stock Markets9 hours ago (Jul 02, 2020 04:45AM ET) (C) Reuters. ROME (Reuters) – World food prices rose in June to post their first...

Economy

SAN FRANCISCO — The spread of the coronavirus has meant feast or famine for technology start-ups. While many are cutting staff and slashing costs...

Economy

In Wisconsin and Ohio, farmers are dumping thousands of gallons of fresh milk into lagoons and manure pits. An Idaho farmer has dug huge...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 Respect Investment. All Rights Reserved.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!