Halfords Group (LSE: HFD) has told investors its full-year profit before tax is set to land near the top of City expectations, sending shares 11% higher in early Wednesday trading.
The UK’s largest motoring and cycling retailer reported group like-for-like sales growth of 4.8% for the year to 3 April 2026, covering both its retail stores and Autocentres garage network.
Cycling outperformed motoring within the retail division, posting like-for-like growth of 6.4% against 2.9% for motoring products.
Autocentres, which provides servicing and repairs across the UK, delivered a solid like-for-like gain of 5.8% over the same period.
Underlying profit before tax is now expected to come in at the upper end of the consensus range of £36 million to £41.2 million, helped by further gross margin expansion and disciplined cost management.
The company ended the year in a net cash position, which management said strengthens its ability to invest in the next phase of its strategy.
Trading in March and April remained in line with expectations despite a tough macro backdrop linked partly to the ongoing conflict in the Middle East.
Halfords said the majority of its energy costs and foreign exchange requirements for the coming year are already hedged, providing better visibility on near-term costs.
Full-year preliminary results are scheduled for release on 25 June, where management is expected to provide more detail on its longer-term growth targets.