Halfords in a down cycle on sales

CAR parts and cycle retailer Halfords yesterday warned that headwinds ranging from the World Cup to political uncertainty had dented sales progress.

The group, which has 462 stores in the UK and Ireland, reported a 2.1 per cent drop in retail like-for-like sales in the first quarter of its financial year to 2 July.

Halfords said it had seen a sluggish start to the spring season due to poor weather in April and consumer nervousness ahead of the general election and emergency Budget.

This was followed by the World Cup in June, which meant the company delayed the start of its summer promotional campaign to mid July. The company produced a 0.7 per cent rise in sales on a like-for-like basis in its previous financial year, when it increased profits by 27 per cent to 117.1 million.