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Topps Tiles has seen its interim sales and profits improve over the 26-week period ending 29 March 2025, amid “good progress” in its five key growth areas.
It reported that adjusted sales increased 4.1% to £127.8m, with an improving trend across the first and second quarters.
Adjusted gross profit was also up 3% to £68.2m, with adjusted gross margins sequentially higher in H1 FY25 than H2 FY24 despite higher trade mix, due to “good operational controls and strong margin management”.
The performance was driven by progress in all five key growth areas of its ‘Mission 365’ growth strategy:
- Modernise the trade digital experience – Topps saw its trade digital experience continue to improve, with trade traffic in Topps Tiles up four-fold, online trade sales up 85% and total trade sales up 12%.
- Expand into new coverings categories: Topps reported sales in new coverings categories up 17% and gross profit up 30% year-on-year as roll out continues.
- Business-to-business sales focus: Topps said its CTD acquisition provides complementary, differentiated brand positions across four Group brands – Topps Tiles, Pro Tiler Tools, CTD and Parkside. CTD provided annualised sales of £30.3m, with H1 underlying trading losses of £1.0m. Topps added the business is not yet fully integrated due to the CMA investigation but there is a clear plan to move into breakeven by quarter four.
- Pro Tiler Tools: Pro Tiler Tools sales increased 17.6%, now three times higher than levels at acquisition, and its new warehouse is fully operational.
- Tile Warehouse: Tile Warehouse sales doubled year-on-year and is the “UK’s fastest growing tile specialist”.
Commenting on the results, Rob Parker, chief executive said: “I am pleased with the progress we have made over the first half, which has included an improving sales trend, offsetting the majority of our inflationary cost pressures, and continuing to deliver our strategy; while also delivering a small increase in underlying profitability. We have recently announced the conclusion of the CMA investigation into our acquisition of CTD, which will form a major part of the business-to-business element of our growth strategy moving forwards.
“As we look forward to the second half, current trading shows a strong improvement in both our market leading omni-channel business, Topps Tiles, and also in the newer parts of the group; and we have a clear plan to move CTD into profitability by the final quarter of our financial year and into growth beyond that. As a result, we expect our full year profits to show a meaningful improvement over the prior year.”
