Topps Tiles tops full year expectations as the DIY boom continues
Sales continued to climb for Topps Tiles as the DIY boom shows no signs of stopping beyond the pandemic.
Group sales in the 52-week period were approximately £247.3m, a second consecutive record year of turnover, with year on year sales growth of 10.6 per cent.
Topps Tiles said it continued to perform well against a “very strong comparative period last year”. Like-for-like sales were 1.2 per cent lower than last year in the final quarter, but like-for-like sales growth for the full year in Topps Tiles was still 9.4 per cent.
Average weekly sales per store in Topps Tiles this year were 25 per cent higher than in the pre-pandemic period in 2019, which the firm said was thanks to closing underperforming stores.
Overall, the firm said adjusted profits for the year are expected to be towards the upper end of market expectations.
“Our market leading omni-channel retail business, Topps Tiles, has performed well against strong prior year comparatives and we are continuing to grow our base of loyal trade customers,” chief exec Rob Parker said.
“The new divisions are developing well, inflationary pressures are being managed and the groups cash balances and headroom remain robust,” said brokers at Peel Hunt, giving the stock a buy rating.
“The diversification of Topps away from the core retail business, with the development of both Commercial and Pureplay Divisions has transformed the growth outlook and market share opportunities for Topps, tapping into new revenue streams,”
Shares climbed nearly four per cent this morning.