by Michael Susin
Topps Tiles Plc on Wednesday said it expects its gross margin percentage for the first quarter of 2022 to be marginally lower year-on-year as cost prices will exceed selling prices.
The tiles retailer said it has taken steps to protect gross profit and operating costs are in line with forecasts.
Topps said retail sales grew 21% on a two-year basis in the first quarter of 2022.
It said it continues to hold high levels of inventory against supply-chain pressures.
“Global supply-chain challenges, high staff absenteeism due to COVID-19 and material cost price inflation continue to provide significant headwinds, although we are managing these challenges effectively. I am confident that our successful strategy and The strong balance sheet leaves us well positioned to deliver sustainable long-term growth and our 20% mark-share target of ‘5 in 1’ by 2025,” said Chief Executive Officer Rob Parker.
Shares were down 2 pence, or 3.1%, at 62.0 pence at 0819 GMT
Write to Michael Susin at [email protected]