// Topps Tiles reports record first half revenues as strong demand for home improvements continues
// The retailer says it will invest in digital marketing for the business and expects it to be “modestly loss making” in the early years
Topps Tiles has reported record turnover for the first half of its financial year, with Brits still hooked on repairing and improving their homes following the easing of lockdown restrictions.
The London-listed retailer recorded revenue of £119.2 million in the six months to 2 April, up more than 15% in comparison with £103m a year prior, Topps revealed in its interim results this morning.
In the first seven weeks of the second half, like-for-like sales grew by 5.7%. In the most recent five weeks, like-for-like sales were slightly below the same time last year – which followed the end of the third UK lockdown, in which non-essential shops had to close.
- Topps Tiles acquires 60% stake in tiling supplier Pro Tiler
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In its latest financial report, the retailer outlined its strategic and operational highlights for 2022 which includes the acquisition of Pro Tiler in March and the launch of its online-only brand Tile Warehouse.
It added that its “excellent performance” has been supported by the ongoing strength of the UK repair, maintenance and improvement sector, and says the strong set of results come despite several challenges including supply chain disruption, a shortage of HGV drivers and an increase in shipping and fuel costs.
Topps Tiles also revealed the launch of Tile Warehouse, which will offer competitive prices to a new group of customers – “value conscious” homeowners – while complementing its core Topps Tiles brand and drawing on existing group infrastructure and expertise.
It also represents the start of a new online-only business within Topps Tiles. Topps says it will invest in digital marketing for the business and expects it to be “modestly loss making” in the early years.
Topps Tiles chief executive Rob Parker said: “The Group has delivered record first half revenues against a backdrop of continued robust demand for home improvements. While supply chain and inflation headwinds strengthened in the period, we are managing these challenges effectively overall and believe we remain well positioned relative to many of our competitors.
“We have continued to develop the Topps Tiles brand, enhancing our store portfolio and introducing a number of new developments to our award-winning website to further strengthen our omni-channel capability.
“We are pleased to announce the launch of Tile Warehouse, a new online-only brand which brings everyday low prices to homeowners. This builds on the acquisition of Pro Tiler Ltd in March and forms the basis for a new, high growth, online-only sales channel, leveraging our core strengths in product, service and scale.
“Looking ahead, we are mindful of the growing burden on consumers from inflation and rising interest rates as well as ongoing supply chain challenges, however, we remain confident in our strategy and medium term growth pro