14th Jan 2021 13:49
(Alliance News) - Halfords Group PLC on Thursday posted a third-quarter revenue hike, with Christmas trading boosted by both its essential retail status and a spike in demand for cycling products.
Shares in the Redditch, Worcestershire-based cycling and motoring products retailer were up 6.7% at 296.20 pence each in London on Thursday afternoon.
Revenue in the third quarter ended January 1 rose 12% year-on-year, helped by a 7.7% sales rise in Retail and 31% hike at Autocentres, its car servicing and repair arm.
On like-for-like basis, Autocentres posted a 21% sales jump, while Retail climbed 9.8% like-for-like, boosted by a 35% jump in cycling products.
"We are pleased to have delivered a strong performance under hugely challenging circumstances, including our best ever Christmas week," Chief Executive Graham Stapleton said.
For the nine-month period, Halfords said its revenue is 10% higher annually.
Halfords added that it has closed 33 sites as part of property portfolio reshaping plans outlined in November 2019.
It also plans to close further 47 "low-returning stores and garages" before the end of the financial year in April, resulting in an annualised profit benefit of GBP6 million, but only after incurring GBP25 million to GBP30 million in one-off exceptional costs.
By Eric Cunha; [email protected]
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