Topps Tiles hails third quarter sales growth
Topps Tiles has posted a 9.2% increase in group sales in its third quarter despite difficult trading conditions.
In the 13 weeks to 2 July 2022, like-for-like sales rose by 2.9%.
The tile retailer said average weekly sales per trading store in the period were 28% higher than in the same quarter in its 2019 financial year, prior to the pandemic. Topps revealed that slightly less than half of this growth was due to the transfer of sales from closed stores from the rationalisation of its store network.
However, in the most recent 11 weeks, like-for-like sales were 0.9% lower when compared to a very strong period of trading last year.
Rob Parker, Topps Tiles chief executive, said: “Despite the continuing headwinds from lower consumer confidence, supply chain challenges and high inflation, trading remained encouraging and in line with our expectations in the third quarter, with group sales up 9.2%. Sales per store in Topps Tiles remain significantly ahead of our pre-pandemic performance.”
Giving an update on its commercial business, Topps said it continues to perform well despite a subdued market, with year-on-year growth of 26% in the quarter. The company said it is confident that the business will break even in the second half of the year before moving into profitability in its 2023 financial year.
Looking ahead, Parker said: “Whilst we are mindful of the current economic pressures and their impact on the outlook for consumers, we are confident that our successful strategy, multiple growth drivers and strong balance sheet leave us well-positioned to deliver medium term growth and our 20% market share goal of ‘1 in 5 by 2025’.”
