Topps delivers another year of record revenues

Tile specialist Topps Tiles has reported a growth in sales, marking a third year of record revenue growth.

According to its unaudited consolidated annual financial results for the 52 weeks ended 30 September 2023, total sales rose 6.3% to £262.7m from £247.2m in 2022.

Pre-tax profit resulted at £6.8m, down 37.6% from £10.9m recorded the previous year.

Topps said it delivered record sales once again, with sales per store up 30% compared to pre-pandemic levels, as well as further improvements to its customer service scores, and successful expansion into new product categories.

“Trading in the early weeks of the new financial year has reflected the well-documented challenges to discretionary consumer spending, especially RMI, including higher interest rates and prolonged high inflation, falling house prices and lower housing transaction,” Topps added.

Softer build into the seasonal peak trading period has seen group sales decline 3% year on year in first eight weeks of the new financial year with like-for-like sales in Topps Tiles down 6.1%.

Commenting on the results, Rob Parker, Chief Executive said: “This has been a further year of strategic progress for the Group and we are delighted to have delivered a third consecutive year of record sales and to have achieved our ‘1 in 5’ market share goal two years ahead of schedule. While profitability for the year reflects the impact of inflation on our cost base, particularly during the early months of the period, these pressures began to abate in the second half, with the smaller store estate and the cost reduction plan at Parkside providing further mitigation.

“As we enter our new financial year, it is clear that there has been a weakening of discretionary consumer spending. The business is well positioned to deal with this period, our established brands are market leading, we are competitively advantaged and we are confident that we will continue to take market share. When combined with a strong balance sheet, this will support the Group’s ambitions over the medium term. Topps Group continues to develop and diversify and we remain excited by the opportunities ahead of us.”

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