Topps Tiles has announced plans to close 23 underperforming stores as part of a broader strategy to drive sustainable profit growth.
The company said it is introducing a range of self-help measures, including cost-saving initiatives aimed at improving efficiency across both its head office and retail locations. These steps come in response to a weaker home improvement and DIY market, as well as ongoing cost pressures driven by economic and government factors.
While the closures are expected to reduce overall revenue, Topps Tiles anticipates an improvement in profitability through lower costs and the redirection of sales. Most of the financial benefits are expected to be realised in the second half of the year.
Chief executive Alex Jensen said the business continues to outperform a challenging market but acknowledged the impact of subdued consumer confidence, geopolitical uncertainty, and rising costs. He explained that the company is implementing targeted measures to support profit growth and strengthen its financial position for 2027 and beyond.
In a trading update covering the 26 weeks to 28 March, the group reported revenue of £142.7 million, including CTD, representing a slight year-on-year decline of 0.1%. This was largely due to reduced volumes linked to a prolonged CMA process affecting CTD.
Excluding CTD, group revenue increased by 2.1%, although growth slowed somewhat in the second quarter. Like-for-like revenue at Topps Tiles rose marginally by 0.1% over the period.
The company also highlighted strong performance from its online brands, with Pro Tiler revenue growing by more than 21% compared with the previous year.
