Halfords new chief executive has unveiled plans to plough more money into the business – £60m a year rather than £40m.
The investment plan also includes updating its retail branches and revamping its online range.
It means profits will be flat in the financial years to the end of March in 2019 and 2020 before an expected mid-single digit percentage annual growth thereafter, the company has said.
The news sent shares in the FTSE 250 firm down more than six per cent
There are currently 316 Halfords Autocentres and the firm wants to open a further 100.
Mobile fitting and repairs
The retailer has also trialled mobile vans that offer a car parts fitting and repair service on people’s driveways, and wants to roll them out across the UK.
Halfords chief executive, Graham Stapleton said: “We are a strong and growing business, that benefits from a solid financial platform and highly experienced and capable colleagues.
“However, customer behaviours and the competitive environment are changing and we face an increasing number of headwinds.
“Our new long-term strategy means we will become far more focussed on the categories we are best known for, motoring and cycling.
He added: “We have an exciting future ahead and I am confident that we will become even more relevant to motoring and cycling customers in the future.”
Just last month, the fast fit announced the launch of a new breakdown recovery service for cars, vans, motorbikes and push bikes.
The news prompted an amusing response by many GW readers.
Wyn Humphreys said: “Handy that, they can collect the cars that they been working on.”
Heather Baldwin said: “Lots of headlamp bulbs fitted by Halfords are in upside down, how could you trust them to repair your vehicle or even recover it.”
Do you think the extra £20M investment could see Halfords improve the quality of its servicing and repairs, as suggested by the chief executive? Share your comments below.