Topps Tiles (TPT) Q3 2025 TU earnings summary

Executive summary

• Strong trading momentum continued in Q3, with group adjusted sales up 10% year-over-year, accelerating from 4.1% growth in the first half.

• All divisions, including Topps Tiles, Parkside, and Tools and Tile Warehouse, reported higher growth rates in Q3 compared to earlier periods.

• Strategic progress was made across five main growth levers, including digital modernization and new product categories.

Financial highlights

• Group adjusted sales rose 10% year-over-year for the 39-week period ended 28 June 2025.

• Topps Tiles brand like-for-like sales increased 7.3% in Q3 and are up 4.4% year-to-date.

• Online sales grew to 21.9% of adjusted sales in Q3, up from 19.8% in the first half.

• Adjusted gross margins continued to improve and are expected to be higher in the second half.

Outlook and guidance

• The group expects operating costs to rise in the second half due to higher performance-related pay and regulatory cost increases, but strong sales and margin management should drive profit growth.

• CTD is expected to be at least breakeven by Q4, with plans to grow this business in 2026 and beyond.

• Confidence in delivering meaningful growth in sales and profits this year and into the medium term.