Topps Tiles has reported a solid rise in sales during the first half of its financial year, following a slow start in January. In the 26 weeks ending on March 29, the company saw a 4% increase in group sales, reaching £127.7 million, excluding its recently acquired CTD. This growth was supported by a 4.4% rise in underlying sales during the second quarter, building on a more modest 3.3% increase in the first quarter.
The company’s flagship brand, Topps Tiles, recorded a 3.7% growth in like-for-like sales in the second quarter, while overall like-for-like sales for the first half rose by 3%.
Trade sales performed particularly well, surging by 12% in the first half. The number of active traders at the close of the period grew by 11%, reaching 146,000.
Digital sales were another bright spot, with online revenue rising by 15% as web traffic surged four-fold. Topps Tiles also made notable strides in enhancing its digital infrastructure, with significant progress on a new customer engagement platform and a trade app, both set to launch in 2025 and 2026, respectively.
However, the retailer warned that its external cost environment remains tough, with upcoming hikes in the National Living Wage and National Insurance expected to add £4 million to its wage bill. Despite these challenges, the company remains optimistic about its continued growth and digital transformation.
Rob Parker, Topps Tiles chief executive, commented: “Following our return to sales growth in the early weeks of the year, we are pleased to see this trend accelerate in the second quarter, driven by some initial signs of success from our new strategic initiatives, including an improved trader digital experience and further category extensions.
“Whilst macroeconomic indicators remain mixed, we remain focused on the delivery of our strategy which we are confident will lead to the achievement of our Mission 365 goal over the medium term.”
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