Q2 Trading Update

RNS Number : 2792U

Topps Tiles PLC

06 April 2016

 

Topps Tiles Plc

Q2 Trading Update

Trading

Topps Tiles Plc (the "Group"), the UK's largest tile specialist, announces a trading update for the 26 week period ending 2 April 2016. The Board will announce interim results for the period on 24 May 2016.

Total revenues for the 26 week period were £108.0 million (2015: £104.0 million).  Like-for-like revenues for the 26 week period increased by 4.7%.

Analysis of LFL sales by quarter

	Q1	Q2	First Half
FY 2016	+4.4%	+4.9%1	+4.7%
FY 20152	+5.2%	+5.2%	+5.2%

¹ Q2 LFL sales growth in FY16 was impacted by the earlier Easter which fell within the first half this year.  We estimate this reduced LFL sales growth in the quarter by c.0.6% and by c.0.3% over the half year.

² Prior year numbers have been restated on a consistent reporting week basis due to the inclusion of a 53^rd week in H2 FY2015.

Strategic Progress

We continue to make good progress with our strategy of "Out-Specialising the Specialists", with specific initiatives in the period including:

·	Inspiration - during the period we completed the roll out of new inspirational wall displays which have replaced third party stands and will make the full range of products easier for customers to shop.  These also give us the flexibility to move displays within the store which will help drive efficiency in the store operation.
·	Range - during the quarter we have launched 17 new tile ranges; with sales from lines launched in the last 12 months accounting for 8.7% of sales.  We have recently launched our new Spaces™ porcelain tile range, which enables the seamless flow of tiles from indoor to outdoor using an 'easy to fit' technology innovation called Serafoam® which is produced exclusively for Topps (http://www.toppstiles.co.uk/spaces)
·	Convenience - In the core estate we opened four stores and closed two units during the quarter. The group is currently trading from 342 stores including 13 Boutique stores (2015: 340 stores including 4 Boutique stores).

Matthew Williams, Chief Executive Officer, said: "I am pleased to report that the Group has continued its encouraging trading performance, with like-for-like sales growth accelerating to 4.9% in the second quarter.  Our strategy of 'Out-Specialising the Specialists' is continuing to deliver profitable sales growth and we enter the second half of our financial year in good shape, confident that our plans to extend the appeal of the Topps brand will underpin our further progress."

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Enquiries:

Topps Tiles Plc	0116 282 8000
Matthew Williams, Chief Executive Officer
Rob Parker, Chief Financial Officer
Citigate Dewe Rogerson	020 7638 9571
Kevin Smith / Nick Hayns

Note to editors

Topps Tiles Plc is the UK's largest specialist supplier of tiles and associated tools and accessories, targeting the UK domestic refurbishment market and serving a retail and trade customer base from 342 stores nationwide.

Since opening its first store in 1963, Topps has maintained a simple operating philosophy - inspiring customers with unrivalled product choice and providing exceptional levels of customer service.

This focus has established Topps as market leader in the UK, and underpins its successful strategy of growing profitable sales. 

For further information, please visit www.toppstiles.co.uk/media-centre/investors.asp

 

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