REG-Halfords Group PLC Halfords Group PLC: Trading Update

HalfordsAnnouncement

01/10/2020 07:05

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   Halfords Group PLC (HFD)
   Halfords Group PLC: Trading Update

   01-Oct-2020 / 07:00 GMT/BST
   Dissemination of a Regulatory Announcement that contains inside
   information according to REGULATION (EU) No 596/2014 (MAR), transmitted by
   EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   1 October 2020

                       Halfords Group plc: Trading Update

     H1 profit before tax1 expected to be in excess of £55m as a result of
        continued momentum in Cycling and Motoring products and services

   Halfords Group plc ("the  Group"), the UK's  leading provider of  motoring
   and cycling products and services, today updates the market on its  recent
   trading performance.

   Our 20-week trading update  on 8 September  2020 highlighted an  improving
   growth trend  throughout  the  period, reflecting  continued  strength  in
   Cycling and a return to growth in Motoring products and services.

   Despite the peak  Cycling and  Staycation season  coming to  an end,  this
   positive momentum  has continued,  such that  Group like-for-like  ("LFL")
   growth in  the five  weeks to  25  September 2020  was +22%.  Cycling  has
   continued to perform well, up +46% LFL in the five-week period, reflecting
   the strength of our unique proposition and continual improvement in supply
   to meet unprecedented levels  of demand. Motoring  in our Retail  business
   improved to +7.5% LFL  in the five-week  period. Our Autocentres  business
   continued to grow  strongly, up  +18% LFL  (+64% including  acquisitions).
   This  included   exceptional  demand   for  our   growing  Mobile   Expert
   proposition, driven by  customers seeking greater  convenience and  safety
   from our fleet of vans.  With the substantial growth  we have seen in  our
   motoring services business  across both  Retail and  Autocentres, we  have
   launched a national campaign to recruit hundreds of skilled technicians.

   Given stronger than expected trading since  week 20, we now expect  profit
   before tax1 for H1 FY21  to be in excess of  £55m. We do, however,  remain
   cautious in our outlook  for H2. The potential  impact of second waves  of
   COVID-19 now seems  more pronounced  than just a  few weeks  ago, and  the
   economic impact of an end to the furlough scheme and the outcome of Brexit
   negotiations remains very  uncertain. We  are well placed  to address  any
   headwinds we may face and capitalise  on the tailwinds as they arise.  Our
   balance sheet and liquidity position remain strong.

   We will report our interim results on 18 November 2020.

    1. Underlying profit before tax and before adjustments for IFRS16

    

   Enquiries                                   
   Investors & Analysts (Halfords)                                          
   Loraine Woodhouse, Chief Financial Officer                               
                                                        +44 (0) 7483 360 675
   Neil Ferris, Corporate Finance Director
                                                  neil.ferris@halfords.co.uk
                                                         +44 (0) 1527 513189
   Andy Lynch, Head of Investor Relations
                                                 andrew.lynch@halfords.co.uk
                                                                            
   Media (Powerscourt)                                  +44 (0) 20 7250 1446
   Rob Greening                               halfords@powerscourt-group.com
   Lisa Kavanagh                                                            

   Notes to Editors

   www.halfords.com                   1 www.halfordscompany.com              
    2 www.tredz.co.uk

   Halfords is the UK's leading provider of motoring and cycling products and
   services. Customers shop  at 444  Halfords stores,  3 Performance  Cycling
   stores (trading  as Tredz  and Giant),  367 garages  (trading as  Halfords
   Autocentres and McConechy's)  and have  access to 91  mobile service  vans
   (trading as Halfords Mobile Expert and Tyres on the Drive). Customers  can
   also shop at halfords.com and tredz.co.uk for pick up at their local store
   or direct home  delivery, as  well as  booking garage  services online  at
   halfords.com.

    

   Cautionary statement

   This report contains certain forward-looking statements with respect to
   the financial condition, results of operations, and businesses of Halfords
   Group plc. These statements and forecasts involve risk, uncertainty and
   assumptions because they relate to events and depend upon circumstances
   that will occur in the future. There are a number of factors that could
   cause actual results or developments to differ materially from those
   expressed or implied by these forward-looking statements. These
   forward-looking statements are made only as at the date of this
   announcement. Nothing in this announcement should be construed as a profit
   forecast. Except as required by law, Halfords Group plc has no obligation
   to update the forward-looking statements or to correct any inaccuracies
   therein

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   ISIN:           GB00B012TP20
   Category Code:  TST
   TIDM:           HFD
   LEI Code:       54930086FKBWWJIOBI79
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   85202
   EQS News ID:    1138110


    
   End of Announcement EQS News Service

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