Topps Tiles slumps as fourth-quarter sales drop
Shares in Topps Tiles slumped on Wednesday after the tile specialist said like-for-like sales in the fourth quarter dipped as consumer confidence was hit by political uncertainty.
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LFL sales declined 1.9% in the fourth quarter, which the company said reflected "a more challenging economic backdrop".
In an update for the year to 28 September, Topps said adjusted revenues are expected to come in at around £214m, down a touch from £214.8m in 2018, while LFL revenues are set to be 0.6% higher.
Adjusted pre-tax profits for the year are expected to be within the range of current market estimates of between £15.5m and £16m.
Chief executive officer Matthew Williams said: "Despite continued tough market conditions it has been a year of significant strategic progress for the Topps Group. In retail, the recent launch of our new, industry-leading website brings new levels of inspiration to our customers and further integrates our digital and in-store offer.
"In commercial, our investments in building the salesforce, opening new design studios and improving its digital capabilities have enabled Parkside to establish significant momentum in its second year within the group."
He said that while the company’s full-year sales growth across the group "compares favourably with the overall tile market", political uncertainty continued to weigh on consumer confidence in the final quarter and this is expected to continue "until there is greater clarity".
At 1115 BST, the shares were down 7.3% at 64p.