Profits at car parts and cycle retailer Halfords were hit by slower bike sales as its chief executive called for the government to invest in cycling infrastructure.
In the year to April 1st, pre-tax profit fell by 1.2% to £79.8 million despite retail like-for-like sales rising 1.3% whilst sales at Halford’s autocentres climbed by 2.5%. Cycling, meanwhile, was impacted by the weaker market conditions over the last year and the mixed weather conditions.
Jill McDonald, chief executive, commented: "This was a solid performance and we gained market share in both our motoring and cycling divisions. We also saw strong growth in our service-led offerings, including our 3Bs fitting in motoring, which is now complemented by a similar motorbike service. In cycling our sales improved in the second half of the year and cycle repair delivered good growth. The recent acquisition of Tredz alongside the continued expansion of Cycle Republic and the launch of our new Laura Trott range demonstrates the strength and breadth of our cycling proposition. In Autocentres, like-for-like sales grew for the 10th consecutive quarter and customer service measures improved.
“I am pleased with our progress. The Moving Up A Gear strategy aimed at driving sustainable long-term growth is developing well, including a step change in customer data, the introduction of new services, product innovation and exciting collaborations."
She added: "Cycle participation is quite low compared with the rest of Europe, particularly with female cyclists," she said. "We'd like to see more investment in cycling and infrastructure, there’s more that could be done."
