- British tile retailer Topps Tiles’ FY 2021 revenues surged to a record of £227.5 million for the 53-week period ending on 2 October
- The group now forecasts its profits for FY 2021 to be slightly higher than analyst estimates of £13.6 million
UK-based retail company Topps Tiles PLC (LON: TPT) reported record turnover in FY 2021 in its Q4 trading update.
The company’s results were boosted by a boom in the home improvements DIY sector amid the pandemic. The group also increased its FY 2021 forecasts due to this strong performance.
Topps Tiles PLC (LON: TPT) share price performance
Topps Tiles’ shares were closed at GBX 64.00, up by 2.24 per cent on 6 October 2021, while the FTSE All-Share index, which it is a constituent of, ended at 3,995.37, down by 1.20 per cent.
(Image source: Refinitiv)
The company’s market cap stands at £122.32 million, and it has a one-year return of 37.63 per cent as of 6 October 2021.
Topps Tiles’ record FY 2021 sales results
The tiles retail company reported record revenue of £222.5 million for the 52-week comparable period in FY 2021 from £192.8 million in FY 2020.
The group’s revenues touched a record of about £227.5 million for the 53-week period ending on 2 October.
The company attributed the record sales to a boom in the home improvements products space as British citizens undertook DIY projects around their homes amid the pandemic.
Also, the company’s Q4 2021 retail sales rose to 21.7 per cent on a two-year like-for-like basis and rose by 3 per cent on a one-year like-for-like basis.
Comparatively, in Q3 2021, its 2 years like for like retail sales growth was 12.9 per cent, and 132 per cent for a one-year like-for-like basis.
The company’s commercial business sales segment rose by 15 per cent to about £8.6 million, compared to £7.5 million in FY 2020. The growth was due to several of its key markets reopening following the easing of restrictions.
Topps tiles now forecast its FY 2021 adjusted profit before tax to be marginally higher than analyst estimates of £13.6 million.
It also plans to resume dividend payouts by the end of 2021. The group plans to report its results for the 53-week period ending 2 October 2021, on 30 November.
The DIY sector has witnessed a boom during the pandemic. The global DIY and home improvement market is set to reach the US$ 1 trillion mark by 2027, according to the data website Statista.
Also, DIY companies in the UK have recently witnessed increased deal activity amidst this boom. London based online DIY and home improvement products focused retail firm Plan Hardware recently raised £2 million in its latest fundraising round. The fundraising was led by venture capital company Beringea.