Topps Tiles Plc · LSE:TPT
Topps Tiles — HY26 Earnings Presentation
26 slides from Topps Tiles's earnings presentation, May 21, 2026
Slide 1: Half Year Results 2026 Analyst and Investor Presentation
Half Year Results 2026 Analyst and Investor Presentation 1
Slide 2: Overview & Summary
Overview & Summary Alex Jensen Chief Executive Officer 2
Slide 3: HY26 Summary
HY26 Summary Strategic Highlights Financial Highlights • Significant progress against Mission 365 priorities • Proforma* Group revenue, -0.2% YoY, outperforms declining RMI market. • Focus on profitability: continued gross margin expansion and 3 major self-help initiatives to • Proforma adjusted gro
Slide 4: Financial Update
Financial Update Rob Swales Chief Financial Officer (Interim) 4
Slide 5: Statement of Profit or Loss - Adjusted Measures
Statement of Profit or Loss - Adjusted Measures ADJUSTED* MEASURES PROFORMA# MEASURES (CTD in FY26 but excluded from FY25) (CTD trading in both years) HY 2025 HY 2026 HY 2025 YoY YoY Proforma (Proforma#) Revenue - £m 142.6 127.8 +11.6% 142.9 (0.2)% Gross profit - £m 75.6 68.2 +10.9% 73.5 +2.9% Gross
Slide 6: Performance Bridges – Revenue
Performance Bridges – Revenue (0.2)% YoY 150 145 3.3 15.1 142.9 0.1 1.0 142.6 140 (1.9) (2.8) Topps Tiles £m 135 130 127.8 125 120 HY25 Adj HY25 CTD HY25 Adj TT LFL TT Non LFL Online CTD Fired Earth HY26 Adj (ex CTD) (inc CTD) Pureplay • Adjusted Revenue £142.6m up 11.6%, driven by CTD (not in FY25)
Slide 7: Performance Bridges – Gross Margin
Performance Bridges – Gross Margin 57.0% + 1.6 ppts YoY 56.0% Topps Tiles (+1.7%) 55.0% 54.0% 2.2% 0.5% 53.4% 53.0% 52.9% 53.0% (0.5%) (0.6%) (0.1%) 52.0% 51.4% 51.0% (2.0%) 50.0% HY25 CTD TT price & cogs Parkside/CTD HY26 Adj GM% HY26 Stat GM% trading /Fired Earth HY25 Adj GM% HY25 Adj GM% TT mix M
Slide 8: Performance Bridges – Adjusted Operating Costs
Performance Bridges – Adjusted Operating Costs + 1.8% Cost Growth YoY 74.0 1.4 72.0 2.3 70.0 69.5 6.3 68.3 (2.5) 68.0 £m 48.7% of 66.0 47.8% of sales sales 64.0 62.0 62.0 60.0 HY25 adj HY25 CTD HY25 adj Cost inflation Growth Self-help HY26 adj operating costs trading costs operating costs investment
Slide 9: Performance Bridges - Adjusted Net Cash / (Debt)
Performance Bridges - Adjusted Net Cash / (Debt) 14 4.9 12 10 8 7.4 1.1 6 (6.2) (0.9) £m 4 (2.3) 2 0 (4.1) (2) (3.0) (3.1) (4) FY 25 Ops before WC Working Cap CTD ops + Int/tax/other Capex Dividends Fired Earth HY 26 (ex CTD) (ex CTD) CMA acquisition • Net debt of £(3.1)m driven by Fired Earth, divi
Slide 10: Strategic Update
Strategic Update Alex Jensen Chief Executive Officer 10
Slide 11: The Road to £365m Mission 365
The Road to £365m Mission 365 10 – 15+ 365 20 – 25 35-40 15 – 20 25 – 30 10 – 20 248 All numbers are £m and are indicative - illustrating one potential route to delivery of the Mission 365 goal. 11
Slide 12: FY26 Opportunities and Priorities
FY26 Opportunities and Priorities Evolve 365 strategy to accelerate delivery of bottom line Deliver trade growth strategy across Group Accelerate digital agenda, leverage customer data to drive sales and transition new IT system Sales excellence and category extensions Integrating acquisitions to dr
Slide 13: Priority 1: Improving profitability by tackling structural cost base
Priority 1: Improving profitability by tackling structural cost base Context Self-help Management Intervention Conversion of gross profit to net profit is low and declining. Government-driven cost inflation disproportionately affects Topps Tiles stores, where around 60% of Group costs sit and Strong
Slide 14: Priority 2: Delivering trade growth
Priority 2: Delivering trade growth Live stock visibility from Sales in HY26 February 3 x acquisition Group trade (ex CTD) TradePay PremTool +4.1% vs PY +55% vs PY, driving growth 5 times spend and margin Growth App Launch in opportunities May continue 14
Slide 15: Priority 3: Accelerating digital
Priority 3: Accelerating digital Trader app launch CRM Website ERP on track Online mix +Live Stock +driving frequency conversion +16% +New tills in 21% (PY 18%) +Click & Collect and ATV Highest GEO 40% network +Trade Pay +Now personalised citations 15
Slide 16: Priority 4: Driving sales excellence
Priority 4: Driving sales excellence Sales capability: Value segment: Excellent customer Trained 1000 colleagues +KVI repositioning Growing category service: +Pipeline tools +Consolidated Tile extensions +7% Google review 4.9* +performance and reward Warehouse 85,000 reviews 16
Slide 17: Priority 5: Integrating acquisitions to drive sustainable profit
Priority 5: Integrating acquisitions to drive sustainable profit Profitable in H1 Loss more On track to be than halved in profit H2 Exclusive collaborations with Nina Campbell and Neisha Crossland 2 new housebuilding Tile sales beating hubs expectations 4 new international stockists 17
Slide 18: Current Trading and Outlook
Emberton Green 60x60 Current Trading and Outlook Renew Quartz Grey & Principle White Everscape Interlock Earthstone Beige, Everscape Langton Beige 80x80 Earthen Travertine
Slide 19: Current Trading and Outlook
Current Trading and Outlook Current trading: • Encouragingly, Topps Tiles LFL has returned to positive +0.6% and CTD stores LFL also positive at +3.0%. • Online businesses continuing strong performance. Record weeks in Pro Tiler. Outlook: • Macro and geopolitical environment remain challenging, the
Slide 20: Summary
Summary • We are focused on accelerating profit; addressing cost inefficiencies across the Group and targeting profitable revenue growth • We are making good progress in delivering our strategic agenda, including trade growth, digital acceleration and category extensions • Modest year-on-year profit
Slide 21: Q&A
Q&A 21
Slide 22: Appendix
Appendix 22
Slide 23: Market Data
Market Data Sources: HMRC Monthly Property Transactions (residential); Bank of England mortgage approval data; Nationwide House Price Index; UK GfK Consumer Confidence Index; Barclays UK Consumer Spending Report 23
Slide 24: Adjusted to Statutory P&L Bridge
Adjusted to Statutory P&L Bridge Gross Sales Opex Interest PBT Profit £m £m £m £m £m Adjusted P&L 142.6 75.6 (69.5) (3.9) 2.2 Vacant property and closure costs (0.7) (0.7) Store impairment, reversal and lease gains/losses (1.7) (1.7) Notional depreciation 2.0 2.0 CTD one off items & non-recurring co
Slide 25: Balance Sheet Highlights
Balance Sheet Highlights Memo: HY 2026 HY 2025 YoY FY 2025 Goodwill/Intangibles - £m 12.4 12.3 0.1 11.2 Property, plant and equipment - £m 16.1 18.2 (2.1) 16.8 Right-of-Use & Sublease Assets - £m 79.4 72.2 7.2 79.5 Inventory - £m 41.9 40.3 1.6 40.6 Receivables/Payables/Provisions - £m (46.7) (46.1)
Slide 26: Adjusted Net Cash Flow
Adjusted Net Cash Flow HY 2026 HY 2025 YoY Memo: FY 2025 £m £m £m £m £m £m £m £m Cash generated from operations including leases, before movements in working capital 4.9 4.2 0.7 15.0 and CTD/CMA Changes in working capital (excluding (6.2) (4.5) (1.7) (0.7) CTD/CMA) CTD operational cash flows and CMA