REG - Topps Tiles - Half Year Trading Update

Topps TilesAnnouncement

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RNS Number : 9293Y  Topps Tiles PLC  01 April 2026

1 April 2026

Topps Tiles Plc

Half Year Trading Update

Continued trading outperformance within challenging market conditions.

Significant self-help measures to drive profitability.

Topps Tiles Plc ("Topps Group", or the "Group"), the UK's leading tile
specialist, announces a trading update for the 26-week period ended 28 March
2026.

Total Group revenue(1) (including CTD(2)) for the first half was £142.7m,
which is 0.1% lower year-on-year, having been impacted by volume loss from the
lengthy CMA process in CTD. Group revenue (excluding CTD) grew year-on-year by
+2.1%, although following a robust first quarter, revenue growth in the second
quarter moderated slightly but remained positive at +0.6%. The business
continues to outperform the wider market, which declined by approximately
-2.5% over the equivalent half year period, based on data from the Barclays UK
Consumer Spend Report for Home Improvements & DIY(3). Topps Tiles
delivered like-for-like ("LFL") revenue(4) growth of +0.1% in the first half.

The Group remains on track to return the CTD business to profit in the
financial year, with housebuilder volume rebuilding from the end of financial
year 2025 and CTD stores recording LFL(5) growth of +1.0% in the first half.

In light of the softer Home Improvements & DIY market, and to offset
government and macro-driven cost inflation, the Group has begun rolling out a
series of self-help measures to continue driving sustainable profit growth in
the medium term. These include cost-saving interventions to increase
efficiencies at head office and across the store portfolio, including the
closure of 23 underperforming stores(6) across the financial year. The Group
expect this will reduce overall Topps Tiles revenue but improve profitability
through sales transference and cost reduction. Savings are expected to be
weighted toward the second half of the year and will underpin in-year profit
as well as provide sustainable profit improvement.

Our digital and data strategy has advanced, with online revenue (including
CTD) rising to 21.0%, an increase of 2.0ppts versus full year 2025 and 3.3ppts
versus first half last year. The first half also saw positive results from the
new customer engagement platform, the launch of live stock visibility in Topps
Tiles and a new transactional website for CTD.  The Trade App remains on
track to launch in April 2026 and the system modernisation rollout, including
new tills and an ERP upgrade, began in March 2026.

The Group's online brands have continued to perform strongly, with Pro Tiler
delivering revenue growth of over 21% year on year.  Fired Earth has traded
well since acquisition, already delivering a positive profit in the first
half, with further growth expected in the second half.

Commenting on the statement, Chief Executive Alex Jensen, said: "Topps
continues to outperform a softer market. In light of subdued consumer
sentiment and geopolitical uncertainty as well as the cumulative impact of
cost inflation, the management team is implementing a targeted programme of
self-help measures weighted towards the second half. These actions are
designed to support year on year profit growth and provide a stronger
financial platform for 2027 and beyond."

The Group will publish its first half interim results on 19 May 2026.

Notes:

1 Group revenue and revenue growth for the 2026 financial year are stated
excluding VAT and are before half year and year end accounting adjustments
including revenue recognition, loyalty scheme accounting and customer returns
provisions.

2 On 19 August 2024, the Group acquired the brand and certain assets from CTD
Tiles Limited. The business currently trades from 22 stores, down from 31 in
the prior year due to commercial property decisions and the requirement to
dispose of four stores following the CMA investigation.

3 Market performance as defined by Barclays "UK Consumer Spend Report" for
Home Improvements & DIY which was tracking at +0.4% for October 2025,
-2.0% for November 2025, -5.4% for December 2025, -2.4% for January 2026 and
-3.1% for February 2026, averaging c-2.5% over this period (March 2026 report
was not published at time of writing this Trading Statement).

4 Topps Tiles like-for-like revenue is defined as online revenue generated
through Topps Tiles' digital channels, and revenue from Topps Tiles stores
that have been trading for more than 52 weeks, compared to the same period the
previous year.

5 CTD store like-for-like revenue is defined as revenue generated through CTD
stores that have been trading for more than 52 weeks, compared to the same
period the previous year.

6 At the start of the financial year 2026 the Group was operating from 297
Topps Tiles stores and 22 CTD stores.  As at 28 March 2026, the Group was
operating from 289 Topps Tiles stores and 22 CTD stores.  The remainder of
the 23 Topps store closures will occur across the second half.

 

For further information please contact:

 Topps Tiles Plc
 Alex Jensen, CEO            0116 282 8000

 Rob Swales, Interim CFO
 Citigate Dewe Rogerson    +44 (0) 20 7638 9571
 Angharad Couch             toppstiles@cdrconsultancy.com (mailto:toppstiles@cdrconsultancy.com)

 Jonah Boon

Notes to Editors

Topps Tiles Plc is the UK's largest specialist supplier of tiles and
associated products, targeting the UK domestic, commercial and housebuilder
markets and serving homeowners, trade customers, contractors, architects and
designers from 289 nationwide Topps Tiles stores, a commercial showroom in
London, the CTD store estate (22 stores) and ten customer-facing websites:
www.toppstiles.co.uk (http://www.toppstiles.co.uk) , www.parkside.co.uk
(http://www.parkside.co.uk) , www.protilertools.co.uk
(http://www.protilertools.co.uk) , www.northantstools.co.uk
(http://www.northantstools.co.uk) , www.premiumtiletrim.co.uk
(http://www.premiumtiletrim.co.uk) , www.warmfloorstore.co.uk
(http://www.warmfloorstore.co.uk) www.flooringmaterials.co.uk
(http://www.flooringmaterials.co.uk) ,  www.tilewarehouse.co.uk
(http://www.tilewarehouse.co.uk) , www.ctdtiles.co.uk
(http://www.ctdtiles.co.uk) and www.firedearth.com (http://www.firedearth.com)
.

Since opening its first store in 1963, Topps has maintained a simple operating
philosophy ‐ inspiring customers with unrivalled product choice and
providing exceptional levels of customer service.  For further information on
the Group, please visit www.toppsgroup.com (http://www.toppsgroup.com)

 

 

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