Sales were down 4.1% during the second quarter at Topps Tiles, bringing the results for its first half to -1.9%, a result of “tough market conditions,” according to boss Matthew Williams.

In the trading update for the 26 weeks ending April 1, total revenue was £106.5million, down from £108m for the same period last year. Like-for-likes decreased by 1.9%. Trading in the second quarter was particularly slow, reflecting “softer market conditions” as well as an unfavourable comparison with last year, when housing transactions accelerated ahead of the Stamp Duty changes in April 2016.

Management expectations for full year profits are “within the current range of analyst forecasts”, a conclusion based on “an improving trend across the second quarter and a prudent view of the second half.”

The first half saw good growth from Topp's new XL range of tiles and extensions to the wood tile offer. The gains here helped offset the lost sales following the retailer's exit from low margin wood flooring. The net position is estimated at around 1% less sales and a small positive on a gross profit basis.

Ten new stores were opened and three closed during the 26 weeks. The group now trades from 358 stores, including 16 boutique. Around 15 new stores are expected to be opened during the current financial year.

Said CEO Matthew Williams: “Market conditions over the second quarter have been tougher, but the business has responded well with tight control of costs. While we are taking a prudent view on the outlook for the balance of 2017, an improving trend over the second quarter provides some encouragement.  We will continue to invest in the business and focus on executing our strategy of Out Specialising the Specialists to extend our market leading position in the second half of the year."