Tile specialist Topps Tiles reported its fifth consecutive quarter of like-for-like sales growth on Wednesday.
In the 13 weeks to 27 December, revenue excluding CTD – the tile business it bought in August 2024 – rose 3.7% year-on-year, outperforming the market.
Revenue in the Topps Tiles brand grew 2.0% on a LFL basis, supported by a continued strong performance in trade and growth in the company’s “Mission 365” strategic category extensions. This marked the fifth quarter in a row of LFL growth for the brand, helping to mitigate the impact of the continued cost inflationary environment, it said.
Including CTD, group sales rose 1.6% in the first quarter. Topps Tiles pointed out that the CTD operation is now smaller than it was in the prior year, trading from 22 stores, down from 31.
The company also said on Wednesday that the fourth and final CMA disposal store was completed in December 2025, bringing the CMA process to a conclusion.
The remaining CTD stores delivered consistent LFL growth of 4.7% in the period, it said.
The retailer said it continues to make “excellent” progress with the “Mission 365” digital journey, with group online revenue including CTD at 19.7% of total group revenue for Q1. This is a 70 basis points increase on 2025 and a 270bps increase on the first quarter of last year.
Chief executive Alex Jensen said: “The group continued to deliver growth in Q1 across each of our existing businesses and delivered like-for-like growth in CTD stores, whilst achieving some significant milestones, including appointing an interim and permanent CFO, closing the CMA process with CTD and acquiring Fired Earth assets.
“We are confident of delivering another year of progress both strategically and financially.”
At 0940 GMT, the shares were up 3.2% at 45.92p.
Russ Mould, investment director at AJ Bell, said: “The recent encouraging showing from Topps Tiles continues, with the lows seen last spring acting as a floor for the share price.
“The company’s leading position seems to be supporting strong sales growth despite an indifferent market which has not been helped by the impact of last year’s Budget on property transactions.
“A big factor in the company’s recent success has been a renovation of its digital proposition. A fifth consecutive quarter of like-for-like growth suggests Topps is building something sustainable rather than just enjoying a brief time in the sun.
“If lower interest rates help support a recovery in the housing market, this could provide an added tailwind for the group. Although the lack of guidance on the outlook for 2026 from Topps may lead to some pause for thought.
“The recently acquired CTD business acted as a drag as the company was forced to sell stores to satisfy the competition watchdog. Shareholders will be relieved the remedies sought by the CMA are now done and dusted which should allow for improved performance moving forward.
“Today’s update represents an encouraging start for CEO Alex Jensen after taking the helm to replace long-serving boss Rob Parker.”
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