Bike boom sees Halfords profits move up a gear

Halfords’ profits are set to soar after people shunned public transport in favour of bikes and cars during the pandemic.

Halfords is set for another bumper trading announcement when it updates shareholders later this week. Picture: Yui Mok/PA
Halfords is set for another bumper trading announcement when it updates shareholders later this week. Picture: Yui Mok/PA

The retail giant is poised for another bumper trading announcement when it updates company shareholders later this week.

It is expected to reveal a pre-tax profit of between £90 million and £100m for the year to the end of April. That compares with £52.6m for the previous year.

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Susannah Streeter senior investment and markets analyst at Hargreaves Landsown, said: “With higher than expected profits likely to be announced, a buoyant net cash position is likely, and a healthy dividend could be on the cards.’’

Bike sales have benefited from pandemic trends as Brits chose to cycle more when travelling during lockdown periods while health and fitness has also been a priority for many.

Investors will be hopeful that staycations and a desire to have healthier commutes to work will keep the strong momentum over the current financial year.

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