halfords fix your bike 3.PNG Halfords has blamed ongoing supply chain issues, inflation hitting customers’ spending and a return to more normal demand following the Covid bike boom for its cycling sales slowing in the latest financial year.
Publishing its preliminary results for the 52 weeks to 1 April 2022 (link is external) , the retailer noted a 27.2 per cent reduction in cycling retail revenue compared with the previous financial year, but insists cycling revenues were not expected to grow versus the peak of lockdown and were hit by supply chain disruption.
Speaking at a presentation to City analysts accompanying publication of the results (link is external) , incoming Chief Financial Officer, Jo Hartley, said there had been a "considerable softening of the market in cycling". Halfords Fix Your Bike Halfords says comparison with financial year 2020 "offers a better understanding of underlying performance", without the disruption Covid caused during financial year 2021, and saw a 2.7 per cent increase in retail cycling revenue when compared with two financial years ago.
However, regardless of how you view the figures, cycling sales cooled in comparison with the surge in interest during the pandemic.
Supply chain disruption
Chief Executive Officer, Graham Stapleton, said that cycling sales "whilst strong" had seen more volatility in the past year and were constrained by wider supply chain disruption, "industry-specific production bottlenecks" and some signs later in the year that demand began to be impacted as inflation and cost of living concerns grew.
Availability of kids bikes […]