Car and bike parts retailer Halfords has seen the fall in retail sales accelerate in the third quarter, which it blames on the mild weather.
As such, the UK and Republic of Ireland gross margin is expected to fall by 130-150 basis points on a full-year basis.
Total group revenue fell by 2.1% in the 13 weeks ended December 30th, significantly worse than the 0.5% decline experienced in first half.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The main Halfords Retail division saw the fall in revenue speed up to 4.4% from the 1.6% decrease in the first half, with the car maintenance and enhancement ranges losing popularity. "The mild weather, in comparison with the severe conditions last year, changed our mix of Retail sales with an adverse effect on the Car Maintenance range," the statement said.
However, the smaller Autocentres division saw revenue growth accelerate to 18.7%, from 9% in the first half, equating to a 12% year-on-year improvement for the first nine months of the year.
-
Going part-time could leave a £58,000 hole in your pension: how to plug the gapThere are many reasons for switching to part-time work, but some savers don’t consider the impact on their pension until it is too late
-
Three bargain investment trusts to add to your portfolioThese three investment trusts are bargains compared to their net asset value (NAV), but one fund analyst thinks the deep discounts are unwarranted.
