Halfords Group shares jumped 16% on Thursday after the UK retailer reported a return to profitability, driven by accelerating demand for its motor repair and garage services.
The market reaction underscores a structural shift in the company’s business model.
As the average age of cars on British roads increases, owners are increasingly turning to independent service networks rather than dealerships.
Halfords has positioned itself to capture this trend, with its garage operations now serving as the primary growth engine for the group.
This development follows a period of strategic restructuring for the retailer.
Earlier this year, Halfords upgraded its profit forecast for fiscal 2027, projecting results toward the top end of analyst expectations.