UK bicycles-to-car-parts retailer Halfords has today maintained its full-year profit guidance as it reported a rise in underlying sales in a tough trading environment.
Halfords, which issued a profit warning in May, said group like-for-like sales rose 2.8% in the 20 weeks to August 17.
It said its retail like-for-like sales rose by 2.6% and sales at its vehicle maintenance Autocentres chain were up 4% on the same basis.
A squeeze on British consumers from above-target inflation and sluggish wage growth is denting spending on goods other than food.
Industry data for August showed total UK spending was up just 1.3% on a year earlier.
Chief executive Graham Stapleton said Halfords had delivered a solid outcome. "I am pleased with the trading performance for the first 20 weeks of the year in what continues to be a challenging retail environment," he said.
Stapleton, a former Dixons Carphone executive who joined Halfords in January, highlighted sales of fitting services, new ranges of car cleaning products and electric bikes.
He plans to update on strategy at a capital markets event on September 27.
Halfords forecast a 2018-19 underlying pretax profit broadly in line with the £71.6m made in 2017-18.
