Cycling and motor parts giant Halfords will give us a taste of how they traded over the Christmas period with an update this week.

But will it emerge a festive winner and how will it fare this year?

The Worcestershire-headquartered retailer is pencilled in to register like-for-like retail growth of 3.5% in its third quarter, according to analyst Numis.

However, the Champagne corks are unlikely to be popping as it is against a soft comparative last year.

And though the top line might look strong when it reports on Thursday, Halfords warned in November that it has been hit by sterling’s plunge.

Like many retailers, it has felt the impact of higher costs from imported goods.

The retailer reported a 12% plunge in pre-tax profits to £40.8m.

Deutsche Bank has also warned over Halfords’ prospects and downgraded its stock to sell, causing its share price to dive.

Boss Jill McDonald is investing in understanding the Halfords customer better – and is trialling a new ‘store of the future’. But with no Olympics to piggyback on this year, she will need her vast experience gained at British Airways and McDonald’s to ensure a steady Halfords ship. 

Elsewhere this week, Burberry, which has seen some benefit from the collapse in sterling as rich tourists flock to its stores, reports third-quarter numbers on Wednesday.

Pets at Home and specialist fashion retailer N Brown post third-quarter figures on Thursday, while Bonmarché updates on Friday.

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