Topps Tiles revenue falls to £107m in 'tougher' market conditions
Sales at Topps Tiles fell in the first half of the year as the tiling and flooring retailer flagged a slowing housing market and tougher market conditions.
The group said revenue in the six months to April fell 1.4% to £107 million, while like-for- like sales dipped 1.9%.
Topps said trading in the second quarter reflected "softer market conditions" and the group flagged tough comparatives last year, when housing transactions were on the up ahead of stamp duty changes which came into effect in April 2016.
Boss Matthew Williams said: "Market conditions over the second quarter have been tougher, but the business has responded well, with tight control of costs.
"While we are taking a prudent view on the outlook for the balance of 2017, an improving trend over the second quarter provides some encouragement."
The firm said lower sales growth over the first half will be offset by reduced expenditure and expectations for full-year profits remain unchanged.
Shares were down 3.3% to 94p in morning trading.
Adam Tomlinson, analyst at Liberum, said: "While uncertainty remains for the second half outlook, we believe Topps' leading, specialist market position means it is better placed than its competitors to weather any persistence in softer trading conditions.
"We expect the ongoing store roll-out and focused strategy to support long-term growth and market share gains."