A view of a sign outside of Topps Tiles in Highgate, London, Britain, April 3, 2023. REUTERS
Dec 2 (Reuters) – British tile retailer Topps Tiles said on Tuesday that trading moderated in the first nine weeks of its new financial year due to weak consumer confidence, after it posted a 46% rise in annual profit.
Excluding sales from its recently bought CTD Tiles business, group sales grew by 3.3% year-on-year in the first nine weeks of the new fiscal year, while like-for-like sales at its flagship Topps Tiles stores rose 2%.
The warning comes amid weakness in the UK residential construction and home-improvement market, which has weighed on tile and building-material suppliers.
With the home improvement market under pressure, the company has been upgrading its digital systems and sharpened focus on business-to-business clients while expanding commercial and house builder contracts to widen its customer base.
“CTD stores are delivering consistent LFL growth and we are confident in generating a profit in FY26,” the company said in a statement.
Topps Tiles reported an adjusted pre-tax profit of 9.2 million pounds ($12.16 million) for the year ended September 27, compared with 6.3 million pounds in the prior year.
Reporting by Raechel Thankam Job in Bengaluru; Editing by Subhranshu Sahu
