Topps Tiles posts 78 per cent drop in profit on virus-led closures
Topps Tiles has posted a 78 per cent slide in full-year profit and did not propose a final dividend, as coronavirus restrictions prompted the company to close stores temporarily in the third quarter.
The company’s adjusted profit before tax slumped to £3.6m for the 52 weeks ended 26 September, from £16m a year earlier.
The group saw revenue slide 12 per cent to £192.8 million, down from £219.2m in 2019, with retail like-for-like sales decline of 12.5 per cent, predominantly reflecting the impact of the Covid-19 pandemic, including a period of temporary store closures in Q3.
In the first eight weeks of the new financial period, retail like-for-like revenues have increased by 19.6 per cent.
Topps Tiles said it was benefitting from the current increase in home improvement activity.
Chief executive Rob Parker said: “During the year we have transformed our balance sheet and have accelerated our strategic development, building on our credentials as the UK’s leading tile specialist. We are ambitious for the business and have set ourselves a new goal of taking £1 in every £5 spent on tiles and associated products in the UK by 2025.
“It has been a year of challenge and change for Topps but we are emerging stronger and refreshed. Our new financial year has begun strongly, with retail like-for-like sales in the first eight weeks ahead by 19.6%. With our true omni-channel offer, specialist credentials and strong financial footing, Topps is well-positioned for growth as the UK economy begins to recover.”