Topps Tiles sales jump as turnaround plan gains steam
The retailer said like-for-like sales increased 3.8% in the three months to June 29.
Topps Tiles has reported a sales jump in the third quarter as its turnaround plan gained steam.
The retailer said like-for-like sales increased 3.8% in the three months to June 29, compared with a weak quarter a year earlier.
The jump represented a significant acceleration in sales growth, compared with 1.8% in the second quarter and a 1.4% decline in the first quarter of the year.
It partly put its success down its product innovation, with the company launching 25 new product ranges in the year so far.
Products launched in the past 12 months accounted for 20% of sales in the most recent period.
The group reduced its store estate to 365, from 374 a year earlier, and also benefited from new customer feedback schemes.
Topps added that it was boosted by the acquisition of supplier Strata Tiles earlier this year.
The move brought Topps into the commercial tile sector for the first time, which it said “doubled” its potential market and has provided significant opportunity for growth.
Matthew Williams, chief executive of the company, said: “The business performed well over the third quarter with like-for-like sales growing by 3.8%.
“While this is in part due to a softer trading period in the prior year, we are encouraged that the successful execution of our strategy is delivering good trading results.”
Analysts at Liberum welcomed the rising sales, saying: “This is an encouraging performance, particularly in what we think has been a tougher retail environment across June.”
Shares in Topps Tiles rose by 3% to 69p in early trading on Wednesday.