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Topps Tiles to Close 23 UK Stores in Profit Push

Management says the plan will lift margins with most savings landing in the second half.

Overview

  • Topps Tiles, in Wednesday's trading update, said it will shut 23 underperforming shops, with eight already closed since September and the remaining 15 to go over the next six months.
  • The retailer said the closures represent about 7% of its roughly 319-store estate and will leave around 296 locations trading once the programme is complete.
  • Executives said store exits and head-office efficiencies will cut costs and shift some sales to nearby outlets, which they expect to raise profit even as revenue falls.
  • The group reported £142.7 million in revenue for the six months to March 28, down 0.1% year on year, while sales excluding the CTD unit rose 2.1% as growth slowed in the second quarter.
  • The company did not disclose job-loss figures or locations slated to close, said it will try to redeploy staff within its roughly 1,850-strong workforce, and noted ongoing estate changes linked to its CTD and Fired Earth deals under competition oversight.