Topps cuts its final divi after profits slump 36%

BRITAIN’s stagnant housing market has unglued profits and dividends at Topps Tiles, which yesterday forecast little respite in 2012 from consumers putting off home refurbishments.

The country’s biggest tile and flooring retailer slashed its final dividend payment by 40 per cent to 0.6p after a 36 per cent slump in pre‑tax profits to £7.9 million in the year to 1 October from £12.4m.

Topps said trading had worsened in the first seven weeks of its new financial year, with same‑floorspace sales down a shade under 7 per cent after a 2 per cent slide last year.

The firm said it expected trading to stay difficult next year as fears of a double-dip recession hit bigger‑ticket household buys.

Kate Calvert, an analyst at Seymour Pierce, said Topps was partly being hurt by “the specialists seeing increasing competition from home stores developed by the multiples and DIY”.