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The Markets
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Retail

Topps Tiles says sales top expectations following stores reopening

Average weekly sales went from £800,000 in April to £3.9mln last week, only 5% below last year’s figures

Topps Tiles PLC (LON:TPT) said retail trading over the third quarter beat expectations following the gradual reopening of stores from the end of May.

Average weekly sales went from £800,000 in April to £3.9mln last week, when the whole estate was open, which was only 5% below last year’s figures.

READ: Topps Tiles to open all stores by end of June

Retail revenue for the three months to June was still half of the same period in 2019 at £1.9mln, while commercial sales slipped 16% to £1.4mln.

The tiles seller noted that social distancing measures are not a significant constraint due to the relatively low customer footfall and large spaces.

Net cash at the end of the quarter was £3.9mln, with available cash headroom of £52.9mln.

"There’s clearly an element of pent-up demand, with sales across the wider home category performing well at the moment," said house broker Peel Hunt, upgrading forecast loss to £7.4mln from £12mln.

Shares rose 4% to 46.1p early on Wednesday.

--Adds analyst comment, shares--

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