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Highlights:

  • TPT’s group adjusted sales rose 10.1% YoY in Q3FY25, up from 4.1% growth in H1FY25
  • The company’s active trade customer base increased 12% YoY to 150,000 in Q3FY25
  • TPT’s online sales accounted for 21.9% of adjusted revenue in the third quarter.


Topps Tiles Plc (LSE:TPT), the UK's largest tile specialist, released a trading update for the 39-week period ending 28 June 2025, showing an improvement in sales growth during the third quarter. The group reported a 10.1% increase in adjusted sales for Q3 FY25, compared to a 4.1% rise during the first half of the financial year. Year-to-date, adjusted sales are 6.1% higher year-on-year.

Growth was reported across all divisions of the business, including Topps Tiles, Parkside, and the Online Pure Play segment comprising Pro Tiler Tools and Tile Warehouse. The Topps Tiles retail brand saw like-for-like sales increase by 7.3% in the third quarter, with year-to-date growth of 4.4%. The company noted that trade customer demand remained higher than homeowner sales, though sales to homeowners showed improvement.

A key driver of third-quarter sales performance was an increase in active trade customers, which rose by 12% year-on-year to approximately 150,000. Digital channels also contributed more significantly to sales, with online revenue representing 21.9% of adjusted Group sales, compared to 19.8% in the first half.

Gross margins are continuing to trend upward, and the company expects second-half gross margins to be slightly above those reported in the first half. However, the cost environment remains challenging, with around GBX 4 million in additional annualised costs from April 2025, following changes to National Insurance thresholds and increases in the National Living Wage. Performance-related pay is also expected to be higher in the second half as profitability improves. Nonetheless, the company expects operating cost growth to remain below the rate of gross profit growth due to internal cost management.

Topps Group also provided an update on CTD Tiles, the business acquired in 2023 and subject to a recent CMA (Competition and Markets Authority) investigation. With the regulatory process now concluded, the company reported progress toward breakeven performance for CTD by the fourth quarter. Longer-term plans for the unit include a focus on expanding business relationships with contractors, housebuilders, and commercial clients, with growth initiatives expected from 2026 onwards.

The Group reaffirmed progress across its five strategic growth areas, which include: enhancing the digital trade experience, entering new surface covering categories, expanding business-to-business operations, growing Pro Tiler Tools, and developing Tile Warehouse. During the quarter, the company prepared to relaunch the Topps Tiles trade website, aiming to deliver greater functionality. In parallel, it is preparing to roll out a new customer engagement platform designed to improve personalised digital interaction.

As of 2 July 2025, Topps Tiles shares were up 10.26%, trading at GBX 37.60 following the trading update.