UK's Halfords projects annual profit at upper end of market view on strong sales

Halfords

29/04/2026 08:28

April 29 (Reuters) - Britain's Halfords HFD.L on Wednesday forecast its annual profit to be around the upper end of market expectations, supported by tight cost controls and strong sales growth at its retail and autocentres businesses.

The company, which sells products such as batteries, tyres, tools and bicycles, said trading in March and April has been in line with expectations, although the conflict in the Middle East was leading to an uncertain macroeconomic backdrop.

    Here are some key details:

For the year ended April 3, 2026, group like‑for‑like sales increased 4.8%, driven by demand for bicycles and vehicle servicing and repairs.

The company expects fiscal 2026 underlying pretax profit at the upper end of the 36 million pounds-41.2 million pounds  ($48.60 million-$55.62 million) consensus range.

Halfords is currently comfortable with consensus expectations for fiscal year 2027 adjusted pretax profit.

"Trading has stayed strong in April, with no slowing since the Gulf war began: HFD is one of few retailers to express this on recent trade," Peel Hunt analysts said in a note.

Halfords' 'Fit for the Future' strategy was starting to show positive results, CEO Henry Birch said in a statement.

The company operates through two main segments: retail and autocentres. In fiscal 2026, retail like‑for‑like sales rose 4.1%, while autocentres sales increased 5.8%, excluding Avayler, the group's software-as-a-service business, which operates as a standalone business.

The company has been shifting from a traditional retail model toward a service-led business, with growing contributions from vehicle servicing, repairs and business-to-business operations.

Shares of Halfords, up 12.1% at 149p, on track for their best session since January 2025, if current momemtum perists.

($1 = 0.7407 pounds)

 (Reporting by Ankita Bora in Bengaluru; Editing by Sherry Jacob-Phillips)

 ((Ankita.Bora@thomsonreuters.com;))