LONDON May 25 British bicycles to car parts
retailer Halfords on Thursday reported a 7.5 percent
fall in annual profit, hurt by the post-Brexit vote fall in the
value of the pound that increased the costs of imported goods.
Halfords' results for the year to March 31 are the last to
be presented by Chief Executive Jill McDonald. She resigned
earlier this month to take up a position leading Marks &
Spencer's clothing and homewares business and will leave
Halfords in October.
The company made a pretax profit before one-off items of
75.4 million pounds ($97.9 million) - slightly ahead of market
expectations of 74.8 million pounds, according to Reuters data,
but down from 81.5 million pounds in 2015-16. Revenue increased
7.2 percent to 1.1 billion pounds.
"Profit performance for the year was impacted by the weaker
pound but our plans are well developed and I am confident this
will be offset over time," McDonald said.
She said that although currency pressures will continue to
impact profits in the current 2017-18 year, mitigation plans
were well developed.
"We anticipate FY18 profit to be in line with current market
expectations and remain confident in the outlook for the group,"
Shares in Halfords, down 17 percent over the last year,
closed on Wednesday at 358.8 pence, valuing the business at 714
($1 = 0.7700 pounds)
(Reporting by James Davey. Editing by Jane Merriman)