Retailer Topps Tiles has revealed its profit nearly halved over the past year as it grappled with a tough home improvement market and cautioned over “significant” cost pressures in 2025 ahead of new Budget measures.
It said that sales had returned to growth in the first eight weeks of the new financial year, up 1.2% excluding recent acquisition CTD, but that Topps Tiles comparable store sales were still lower, down 0.4%. It added that, combined with wider general inflation, its overall costs are set to swell by around £5 million.“Given these cost increases represent a high proportion of the current level of profitability in the group, they will need to be managed very carefully, and the business is currently formulating plans to mitigate these costs as far as possible.