Retailer Topps Tiles has announced the closure of 23 stores across its estate, citing a challenging home improvement market and rising operational costs.
The Leicestershire-based chain confirmed the closures, representing 7 per cent of its 319 outlets, are part of “significant self-help measures” aimed at slashing expenses, which also include savings at its head office.
Eight of the underperforming stores have already ceased trading since last September, with the remaining 15 expected to shut over the next six months.
The company did not disclose the potential impact these closures would have on its workforce.
Alex Jensen, chief executive of Topps Tiles, stated: “In light of subdued consumer sentiment and geopolitical uncertainty as well as the cumulative impact of cost inflation, the management team is implementing a targeted programme of self-help measures weighted towards the second half.
“These actions are designed to support year on year profit growth and provide a stronger financial platform for 2027 and beyond.”
The group reported a marginal sales dip of 0.1 per cent to £142.7 million in the six months leading up to 28 March.
This revenue figure was reportedly affected by a “lengthy” competition process and a disposal programme, necessitated to address competition concerns following its acquisition of CTD out of administration in 2024.
With the CTD business stripped out, sales rose 2.1 per cent, though it said growth slowed sharply to 0.6 per cent in the second quarter.
It said it performed better than the wider DIY and home improvement market.
The cost savings efforts are set to impact sales, but boost profitability, the group said.
Ms Jensen took over as chief executive on December 8 after former longstanding boss Rob Parker retired.
Topps saw its deal to buy CTD out of administration probed by the Competition and Markets Authority (CMA), which required it to sell off a number of CTD stores to appease concerns.
The firm was left with 22 CTD stores, down from an initial 31.
In December, it also bought the brand of collapsed rival Fired Earth in a £3 million rescue deal after the Oxfordshire-based competitor tumbled into administration in October, resulting in the closure of its 20 UK showrooms and 133 job cuts.
Topps said the group is on track to return the CTD arm to profit in 2025-26, having notched up like-for-like sales growth of 1 per cent across the division in the first half to 28 March.
The firm reported a statutory pre-tax profit of £8.3 million in the year to September, swinging from a £16.2 million pre-tax loss a year earlier.
It will report half-year figures on 19 May.
