Topps Tiles hails record revenues but profits fall

(Sharecast News) - Tile specialist Topps Tiles hailed a record first-half sales performance on Tuesday, but profits fell. In the 26 weeks to 1 April, revenues rose 9.3% to £130.3m, with record sales in the Topps Tiles brand and "strong" results in Online Pure Play brands.

Topps Tiles brand revenues rose 2.4% to £115.8m, while revenues in Online Pure Play - which includes Pro Tiler Tools and its associated brands and Tile Warehouse - surged 800% to £9.9m. Parkside revenue declined 8% to £4.6m.

Adjusted pre-tax profit declined 38% to £4.4m. Topps put this down to "adverse exchange rate movements and the impact of inflation on operating expenses".

Chief executive Rob Parker said: "Our Topps Tiles brand delivered a further period of robust like-for-like sales growth, with Pro Tiler Tools achieving another exceptional performance, to maintain its strong track record since acquisition in 2022.

"As expected, our first half profitability reflects the impact of inflation year on year, including significantly increased energy costs, and a number of other one offs. These effects are now reducing or will reverse in full in the second half, underpinning our confidence in a much stronger profit performance in the balance of the year.

"Our strong trading, when combined with our successful strategy, world class customer service, leading product offer and strong balance sheet, gives us increasing confidence in our outlook. We remain confident that we are on track to hit our 20% market share target ahead of schedule."