Halfords H1 Revenue Rises, Sees ‘Significant Opportunities’ to Create Further Value

Halfords Group PLC (HFD) has released interim results for the 26 weeks ending September 26, 2025, showcasing robust growth and reaffirming its position as a leader in the UK's motoring and cycling market.

The company is on track to meet full-year expectations, fueled by a surge in cycling revenue and strategic advancements.

Group revenue climbed to £893.3 million, a 3.3% increase from £864.8 million in HY25. Like-for-like (LfL) sales grew by 4.1%, highlighting the underlying strength of the business. Underlying profit before tax (PBT) edged up to £21.2 million (HY25: £21.0 million), while reported PBT stood at £17.2 million (HY25: £17.8 million).

Underlying basic earnings per share increased to 7.9p (HY25: 7.6p), and the interim dividend remains steady at 3.0p per share. Net cash significantly improved to £18.6 million, compared to £1.3 million in the previous year, demonstrating a strengthened financial position.

The standout performer was the Cycling segment, with LfL sales soaring by 9.0%. Retail revenue increased by 3.3% to £533.2 million, with Motoring revenue remaining stable at £324.3 million, and Cycling revenue jumping to £208.0 million. Autocentres revenue also saw growth, rising by 3.3% to £360.1 million. The gross margin expanded by an impressive 200 basis points to 51.4%.

The improved net cash position gives Halfords flexibility to invest in strategic initiatives and potentially consider further shareholder returns in the future, while the steady dividend reflects the board's confidence in the company's performance and outlook.

CEO Henry Birch commented, “I am very pleased to be announcing a strong set of HY26 results that show good financial, strategic and operational progress… Looking ahead, there are significant opportunities for us to create further value through improvements in our technology and data capability.” This reinforces the company’s focus on innovation and long-term growth.