Interim Management Statement

RNS Number : 2644A

Topps Tiles PLC

31 July 2008

 



31 July 2008

Topps Tiles Plc

The UK's largest tile and wood flooring specialist

Interim Management Statement

Topps Tiles Plc (the 'Company'), the UK's largest tile and wood flooring specialist, reports on trading for the 17 weeks ended 26th July 2008. At the half year results announced on 28 May 2008, we reported that for the first 6 weeks of trading in the new financial period total revenues increased 2% and like for like revenues were down 3.0% (-4.5% when adjusting for Easter calendar effects).  Trading conditions in the first 17 weeks of our new financial period remain challenging, with overall revenue declining by 2.7% (2007: up 14.4%) and like-for-like revenue declining by 7.7% (2007: up 7.6%).

The UK showed overall revenue decline of 2.9% (2007: up 13.9%) with like-for-like revenue decline of 7.9% (2007: up 7.7%).

Holland showed overall revenue decline of 0.7% (2007: up 27.2%) with like-for-like revenue decline of 2.9% (2007: up 6.2%).

In the UK, we are trading from a total of 320 stores, having opened 22 new stores, and closed or relocated 3 this financial year.  We remain on track to open a net 20 new stores this financial year.

In Holland we are trading from 21 stores and plan to open 1 more this financial year.

We announced at the interim results that we would be adjusting the dividend policy with the intention of reducing net debt and improving the Group's financial flexibility. We will continue to review our dividend policy with respect to the full year.

There have been no significant unexpected changes in the financial position of the Group since the publication of the Interim Report for the half year ended 29 March 2008.  In addition, we have exchanged contracts for the sale & leaseback of 4 freehold properties for a consideration of £4m.

Commenting on trading, Matt Williams, CEO said:

'As we said at our half year results, the retail environment remains challenging. We are, however, managing the business prudently, with emphasis on costs and cash. We have a resilient business model and are confident that we can grow market share in the current tough economic climate.'

Enquiries:

Antonia Coad / Emma Kent

Bell Pottinger Corporate & Financial                                                                020 7861 3232

Matthew Williams, Chief Executive Officer

Rob Parker, Finance Director                                                                          0161 486 2400

 

END

 

 

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