Interim Management Statement
Key Points for the 15-week Period
· Cycling: an initially weak market for Older-Kids' and Adult-Mainstream Cycles that improved in the final weeks of the period, partially offset by a strong increase in Premium Cycle and Cycle Repairs sales
· Car Maintenance: a strong performance with parts sales up 13.2% and 3Bs fitting penetration, via our unique wefit offer, up 11%pts to a record 39.5%. Mild and wet-weather conditions affected the demand for winter products
· Car Enhancement: improved marketing and stronger range execution supported growth in both Audio and Sat-Nav
· Travel Solutions: reduced sales of Child Car Seats, given our focus on cash returns
· Online Retail: a record 10.9% of Retail revenues reached as customers took advantage of Halfords' fulfilment offer
· Autocentres: another strong revenue performance as management continued to invest for the future
Financial Position
There has been no material change in the Group's financial position which remains sound.
Planning Assumptions
We do not anticipate a material improvement in short-term trading conditions. Given the Retail revenue performance in the period our plans would indicate Group Profit Before Tax for the year ended 29 March 2013 in the range of £68-72m, a modest upgrade to our prior assumptions. We will continue to exit old inventory as we invest for the next financial year.