Board Change • Jun 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. CFO & Executive Director Caroline Browne was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • May 25
First half 2026 earnings released: EPS: UK£0.002 (vs UK£0.006 in 1H 2025) First half 2026 results: EPS: UK£0.002 (down from UK£0.006 in 1H 2025). Revenue: UK£142.6m (flat on 1H 2025). Net income: UK£343.0k (down 71% from 1H 2025). Profit margin: 0.2% (down from 0.8% in 1H 2025). Revenue is forecast to grow 2.5% p.a. on average during the next 3 years, compared to a 2.9% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 8% per year whereas the company’s share price has fallen by 13% per year. Price Target Changed • May 22
Price target decreased by 11% to UK£0.47 Down from UK£0.53, the current price target is an average from 4 analysts. New target price is 34% above last closing price of UK£0.35. Stock is down 7.9% over the past year. The company is forecast to post earnings per share of UK£0.051 for next year compared to UK£0.03 last year. Declared Dividend • May 21
First half dividend increased to UK£0.01 Dividend of UK£0.01 is 25% higher than last year. Ex-date: 4th June 2026 Payment date: 10th July 2026 Dividend yield will be 9.3%, which is higher than the industry average of 3.7%. Sustainability & Growth Dividend is not covered by earnings (113% earnings payout ratio). However, it is well covered by cash flows (25% cash payout ratio). The dividend has decreased over the past 10 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to grow by 25% to bring the payout ratio under control. EPS is expected to grow by 122% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. New Risk • May 20
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 1.9x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (1.9x net interest cover). Minor Risks Dividend is not well covered by earnings (113% payout ratio). Share price has been volatile over the past 3 months (8.3% average weekly change). Market cap is less than US$100m (UK£65.0m market cap, or US$87.1m). Major Estimate Revision • Apr 07
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from UK£311.2m to UK£303.2m. EPS estimate also fell from UK£0.055 per share to UK£0.049 per share. Net income forecast to grow 61% next year vs 9.1% growth forecast for Specialty Retail industry in the United Kingdom. Consensus price target of UK£0.50 unchanged from last update. Share price fell 6.1% to UK£0.33 over the past week. New Risk • Mar 08
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: UK£74.2m (US$99.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by earnings (95% payout ratio). Large one-off items impacting financial results. Significant insider selling over the past 3 months (UK£131k sold). Market cap is less than US$100m (UK£74.2m market cap, or US$99.4m). Recent Insider Transactions • Dec 21
Group CEO & Executive Director recently sold UK£85k worth of stock On the 15th of December, Robert Parker sold around 176k shares on-market at roughly UK£0.48 per share. This transaction amounted to 20% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Robert has been a net seller over the last 12 months, reducing personal holdings by UK£131k. Announcement • Dec 18
Topps Tiles Plc, Annual General Meeting, Jan 15, 2026 Topps Tiles Plc, Annual General Meeting, Jan 15, 2026. Location: the marriott hotel, smith way, grove park, leicester, le19 1sw, United Kingdom Declared Dividend • Dec 04
Final dividend of UK£0.021 announced Shareholders will receive a dividend of UK£0.021. Ex-date: 18th December 2025 Payment date: 30th January 2026 Dividend yield will be 6.6%, which is higher than the industry average of 3.7%. Sustainability & Growth Dividend is not adequately covered by earnings (95% earnings payout ratio). However, it is well covered by cash flows (31% cash payout ratio). The dividend has increased by an average of 2.6% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 5.8% to bring the payout ratio under control. EPS is expected to grow by 102% over the next 3 years, which is sufficient to bring the dividend into a sustainable range. Reported Earnings • Dec 03
Full year 2025 earnings released: EPS: UK£0.031 (vs UK£0.066 loss in FY 2024) Full year 2025 results: EPS: UK£0.031 (up from UK£0.066 loss in FY 2024). Revenue: UK£295.8m (up 18% from FY 2024). Net income: UK£5.99m (up UK£19.0m from FY 2024). Profit margin: 2.0% (up from net loss in FY 2024). Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 3.6% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 73 percentage points per year, which is a significant difference in performance. New Risk • Nov 19
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of British stocks, typically moving 7.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite being loss-making. Share price has been volatile over the past 3 months (7.0% average weekly change). Market cap is less than US$100m (UK£73.1m market cap, or US$95.6m). New Risk • Jun 24
New major risk - Revenue and earnings growth Earnings have declined by 25% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 25% per year over the past 5 years. Minor Risks Paying a dividend despite being loss-making. Market cap is less than US$100m (UK£72.5m market cap, or US$98.7m). Reported Earnings • May 26
First half 2025 earnings released: EPS: UK£0.006 (vs UK£0.011 loss in 1H 2024) First half 2025 results: EPS: UK£0.006 (up from UK£0.011 loss in 1H 2024). Revenue: UK£142.9m (up 16% from 1H 2024). Net income: UK£1.20m (up UK£3.39m from 1H 2024). Profit margin: 0.8% (up from net loss in 1H 2024). Revenue is forecast to grow 7.9% p.a. on average during the next 3 years, compared to a 3.6% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 105 percentage points per year, which is a significant difference in performance. Announcement • May 22
Topps Tiles plc Declares Interim Dividend for the Period of 26 Weeks Ended 29 March 2025, Payable on 11 July 2025 Topps Tiles Plc declared an interim dividend of 0.80 pence (2024: 1.20 pence) per ordinary share has been declared for the period of 26 weeks ended 29 March 2025. The shares will trade ex-dividend on 5 June 2025 and the dividend will be paid on 11 July 2025. The Board expects to continue to apply its dividend policy at the full year and therefore maintain full year dividend payments at a level which is at least consistent with Fiscal Year 2024. Declared Dividend • May 22
First half dividend of UK£0.008 announced Shareholders will receive a dividend of UK£0.008. Ex-date: 5th June 2025 Payment date: 11th July 2025 Dividend yield will be 5.2%, which is higher than the industry average of 3.7%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (41% cash payout ratio). The dividend has increased over the past 10 years. However, payments have been volatile during that time. Price Target Changed • May 21
Price target decreased by 13% to UK£0.54 Down from UK£0.62, the current price target is an average from 3 analysts. New target price is 40% above last closing price of UK£0.39. Stock is down 8.8% over the past year. The company is forecast to post earnings per share of UK£0.035 next year compared to a net loss per share of UK£0.066 last year. Announcement • Jan 09
Rob Parker Intends to Retire as CEO of Topps Tiles plc Topps Tiles Plc announced that following an extended period of consideration, Rob Parker, CEO, has notified the Board of his intention to retire from the business after 18 years with the Group. Rob joined the Group in 2007 and served as CFO for 12 years before becoming CEO in 2019. The Nominations Committee has therefore activated its succession plan and, with the support of external consultants, has commenced the search process for a new Chief Executive Officer. Rob will remain in post until an appropriate successor has been appointed, to ensure an orderly transfer of responsibilities, which is expected to be towards the end of 2025. Announcement • Jan 06
Topps Tiles Plc to Report First Half, 2025 Results on May 20, 2025 Topps Tiles Plc announced that they will report first half, 2025 results on May 20, 2025 Announcement • Dec 16
Topps Tiles Plc, Annual General Meeting, Jan 15, 2025 Topps Tiles Plc, Annual General Meeting, Jan 15, 2025. Location: the marriott hotel, grove park, smith way, leicester, le19 1sw, United Kingdom Upcoming Dividend • Dec 12
Upcoming dividend of UK£0.012 per share Eligible shareholders must have bought the stock before 19 December 2024. Payment date: 30 January 2025. The company is not currently making a profit but it is cash flow positive. Trailing yield: 5.9%. Within top quartile of British dividend payers (5.6%). Higher than average of industry peers (3.7%). Declared Dividend • Nov 28
Final dividend of UK£0.012 announced Shareholders will receive a dividend of UK£0.012. Ex-date: 19th December 2024 Payment date: 30th January 2025 Dividend yield will be 6.1%, which is higher than the industry average of 3.7%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (24% cash payout ratio). The dividend has increased over the past 10 years. However, payments have been volatile during that time. Reported Earnings • Nov 27
Full year 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2024 results: UK£0.066 loss per share (down from UK£0.016 profit in FY 2023). Revenue: UK£251.8m (down 4.2% from FY 2023). Net loss: UK£13.0m (down UK£16.2m from profit in FY 2023). Revenue exceeded analyst estimates by 1.9%. Earnings per share (EPS) missed analyst estimates. Revenue is forecast to grow 8.4% p.a. on average during the next 3 years, compared to a 5.1% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. New Risk • Nov 13
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: UK£75.1m (US$95.5m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by earnings (dividend per share is over 13x earnings per share). Profit margins are more than 30% lower than last year (0.2% net profit margin). Market cap is less than US$100m (UK£75.1m market cap, or US$95.5m). Announcement • Oct 02
Topps Tiles Plc to Report Fiscal Year 2024 Results on Nov 26, 2024 Topps Tiles Plc announced that they will report fiscal year 2024 results on Nov 26, 2024 Announcement • Sep 20
Topps Tiles plc Announces Board Changes, Effective on October 1, 2024 Topps Tiles Plc announced the appointment of Martin Payne as an independent non-executive director and Audit Committee Chair Designate. Martin will join the board of directors of Topps Group on 1 October 2024 and will succeed Keith Down as Audit Committee Chair at the AGM in January 2025, at which point Keith will retire from the Board after having served his term under the UK Corporate Governance Code. Martinbrings over 35 years of experience as an executive and non-executive in both private and public businesses. A qualified management accountant, Martin served as CFO and CEO of Genuit Group plc, the FTSE250 building materials group, retiring in May 2022. Prior to that he was CFO of Norcros plc where he gained experience of tile retailing and manufacturing in UK and South Africa. Martin is currently a non-executive director of Stelrad Group plc, Europe's largest radiator manufacturer, where he is Chair of the Audit Committee. He is also a non-executive director of Churchill China plc, the AIM listed international tableware manufacturer, where he is Audit Committee chair and SID. Previously, Martin also spent two years as Chair of the Construction Products Association, the trade association representing UK building materials manufacturers. Declared Dividend • May 23
First half dividend of UK£0.012 announced Shareholders will receive a dividend of UK£0.012. Ex-date: 7th June 2024 Payment date: 12th July 2024 Dividend yield will be 8.5%, which is higher than the industry average of 3.7%. Sustainability & Growth Dividend is not covered by earnings (dividend approximately 13x earnings). However, it is well covered by cash flows (30% cash payout ratio). The dividend has increased by an average of 9.1% per year over the past 10 years. However, payments have been volatile during that time. The company's earnings per share (EPS) would need to grow by 1,396% to bring the payout ratio under control. EPS is expected to grow by 444% over the next 3 years, which means the dividend may need to be reduced to reach a sustainable payout ratio. New Risk • Apr 19
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: UK£79.7m (US$98.5m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Dividend is not well covered by earnings (220% payout ratio). Profit margins are more than 30% lower than last year (1.2% net profit margin). Market cap is less than US$100m (UK£79.7m market cap, or US$98.5m). Major Estimate Revision • Apr 04
Consensus EPS estimates fall by 36% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from UK£262.3m to UK£252.8m. EPS estimate also fell from UK£0.027 per share to UK£0.017 per share. Net income forecast to grow 6.1% next year vs 6.9% growth forecast for Specialty Retail industry in the United Kingdom. Consensus price target down from UK£0.80 to UK£0.55. Share price fell 6.4% to UK£0.42 over the past week. Announcement • Apr 03
Topps Tiles Plc Provides Group Earnings Guidance for the Year 2024 Topps Tiles Plc provided group earnings guidance for the year 2024. The company announced group profitability in the first half of the year will be impacted by a number of factors including the weaker market, the timing of the holiday pay accrual and seasonally higher energy usage in the period. The company continues to expect the Group's profits in 2024 to be weighted towards the second half as indicated in the company’s first quarter trading update. Price Target Changed • Apr 03
Price target decreased by 35% to UK£0.55 Down from UK£0.85, the current price target is an average from 2 analysts. New target price is 25% above last closing price of UK£0.44. Stock is down 11% over the past year. The company is forecast to post earnings per share of UK£0.022 for next year compared to UK£0.016 last year. Announcement • Apr 03
Topps Tiles Plc to Report First Half, 2024 Results on May 21, 2024 Topps Tiles Plc announced that they will report first half, 2024 results on May 21, 2024 Major Estimate Revision • Mar 15
Consensus EPS estimates fall by 24% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from UK£265.7m to UK£262.3m. EPS estimate also fell from UK£0.035 per share to UK£0.027 per share. Net income forecast to grow 65% next year vs 6.7% growth forecast for Specialty Retail industry in the United Kingdom. Consensus price target of UK£0.80 unchanged from last update. Share price was steady at UK£0.44 over the past week. Buy Or Sell Opportunity • Mar 11
Now 20% overvalued Over the last 90 days, the stock has fallen 8.7% to UK£0.45. The fair value is estimated to be UK£0.37, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 3.1% per annum. Earnings are also forecast to grow by 40% per annum over the same time period. Buy Or Sell Opportunity • Feb 09
Now 23% overvalued Over the last 90 days, the stock has fallen 2.1% to UK£0.47. The fair value is estimated to be UK£0.38, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 3.1% per annum. Earnings are also forecast to grow by 40% per annum over the same time period. Announcement • Dec 21
Topps Tiles Plc, Annual General Meeting, Jan 18, 2024 Topps Tiles Plc, Annual General Meeting, Jan 18, 2024, at 09:30 Coordinated Universal Time. Location: Marriott Hotel, Smith Way, Grove Park, Leicester United Kingdom Upcoming Dividend • Dec 14
Upcoming dividend of UK£0.024 per share at 7.2% yield Eligible shareholders must have bought the stock before 21 December 2023. Payment date: 02 February 2024. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 7.2%. Within top quartile of British dividend payers (6.0%). Higher than average of industry peers (3.1%). Reported Earnings • Nov 29
Full year 2023 earnings: EPS misses analyst expectations Full year 2023 results: EPS: UK£0.016 (down from UK£0.046 in FY 2022). Revenue: UK£262.7m (up 6.3% from FY 2022). Net income: UK£3.21m (down 64% from FY 2022). Profit margin: 1.2% (down from 3.6% in FY 2022). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 38%. Revenue is forecast to grow 3.2% p.a. on average during the next 3 years, compared to a 5.5% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 46% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Announcement • Nov 29
Topps Tiles plc Proposes Final Dividend, Payable on 2 February 2024 Topps Tiles Plc proposed a final dividend of 2.4 pence, bringing the full year dividend to 3.6 pence, in line with last year and representing 80% of adjusted earnings per share. The shares will trade ex-dividend on 21 December 2023 and, subject to approval from shareholders at the Annual General Meeting in January 2024, the dividend will be payable on 2 February 2024. Announcement • Nov 21
Topps Tiles plc Announces Board Changes Topps Tiles Plc announced the appointment of Denise Jagger as an independent non-executive director, Senior Independent Director Designate and Chair of the Sustainability Committee of the Company. Denise will join the board of directors of Topps Group (the "Board") on 1 February 2024 and will succeed Keith Down as Senior Independent Director at the AGM in January 2025, at which point Keith will retire from the Board after having served his term under the UK Corporate Governance Code. Denise is an experienced non-executive director, with a track record in non-executive roles, in both public and private businesses, stretching over 25 years. She is currently a non-executive director at Reach and CLS Holdings, and was previously a non-executive at Redrow, SCS Upholstery and Scarborough Building Society. Denise was also a non-executive director and SID at Bellway and Pool Re, having retired from the latter in September 2023. Denise is currently Senior Independent Director at Reach. A qualified solicitor, she was previously Company Secretary and General Counsel at Asda Walmart and is currently a Trustee of the National Trust and the recently retired Chair of the University of York. Announcement • Nov 10
Topps Tiles Plc to Report Fiscal Year 2023 Results on Nov 28, 2023 Topps Tiles Plc announced that they will report fiscal year 2023 results on Nov 28, 2023 Upcoming Dividend • Jun 01
Upcoming dividend of UK£0.012 per share at 6.7% yield Eligible shareholders must have bought the stock before 08 June 2023. Payment date: 14 July 2023. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 6.7%. Within top quartile of British dividend payers (5.9%). Higher than average of industry peers (3.1%). Reported Earnings • May 24
First half 2023 earnings released: EPS: UK£0.003 (vs UK£0.021 in 1H 2022) First half 2023 results: EPS: UK£0.003 (down from UK£0.021 in 1H 2022). Revenue: UK£130.3m (up 9.3% from 1H 2022). Net income: UK£482.0k (down 89% from 1H 2022). Profit margin: 0.4% (down from 3.5% in 1H 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.8% p.a. on average during the next 3 years, compared to a 6.4% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 66% per year but the company’s share price has only increased by 12% per year, which means it is significantly lagging earnings growth. Announcement • May 23
Topps Tiles plc Declares Interim Dividend for First Half Year of 2023 Payable on 14 July 2023 Topps Tiles Plc announced an interim dividend of 1.20 pence (2022: 1.00 pence) per ordinary share has been declared. The shares will trade ex-dividend on 8 June 2023 and the dividend will be paid on 14 July 2023. Announcement • May 19
Topps Tiles plc Appoints Paul Forman as an Independent Non-Executive Director and Chair Designate of the Company Topps Tiles Plc announced the appointment of Paul Forman as an independent non-executive director and Chair Designate of the Company. As detailed in the 2022 Annual Report, Darren Shapland is now in his ninth year as Chair and, therefore, nearing the end of his maximum term under the UK Corporate Governance Code. To this end, the Nominations Committee, led by Keith Down, the Company's Senior Independent Director, commenced a Chair succession plan which has now been successfully concluded with the appointment of Paul Forman. Paul will join the board of directors of Topps (the "Board") on 1 July 2023, to allow for an orderly transition of responsibilities, and he will succeed Darren Shapland as Chair at the start of the Company's new financial year on 1 October 2023, at which point Darren will retire from the Board. Paul is an experienced director of both listed and private equity-backed businesses, gained in a variety of executive and non-executive roles. His experience includes chief executive roles at three FTSE250 businesses: Essentra PLC, Coats Group PLC and Low & Bonar PLC. He is also a former non-executive director of Brammer PLC.He is currently Senior Independent Director at Tate & Lyle PLC and Chair Designate at FSI, the private equity-backed flavours and fragrances business. Announcement • May 14
Topps Tiles Plc to Report First Half, 2023 Results on May 23, 2023 Topps Tiles Plc announced that they will report first half, 2023 results on May 23, 2023 Recent Insider Transactions Derivative • Dec 16
Group CEO & Executive Director exercised options and sold UK£96k worth of stock On the 12th of December, Robert Parker exercised options to acquire 204k shares at no cost and sold these for an average price of UK£0.47 per share. This trade did not impact their existing holding. For the year to October 2016, Robert's total compensation was 56% salary and 44% other compensation. This indicates that these sales could comprise a meaningful part of their income for the year. Since March 2022, Robert's direct individual holding has increased from 552.89k shares to 736.26k. This was the only transaction from an insider over the last 12 months. Upcoming Dividend • Dec 15
Upcoming dividend of UK£0.026 per share Eligible shareholders must have bought the stock before 22 December 2022. Payment date: 03 February 2023. Payout ratio is on the higher end at 78%, however this is supported by cash flows. Trailing yield: 7.3%. Within top quartile of British dividend payers (5.6%). Higher than average of industry peers (3.0%). Announcement • Dec 07
Topps Tiles Plc, Annual General Meeting, Jan 18, 2023 Topps Tiles Plc, Annual General Meeting, Jan 18, 2023. Agenda: To discuss Darren Shapland be removed from office as a director of the Company and from the position of Non-Executive Chairman of the Company with immediate effect; to discuss Lidia Wolfinger having consented to act, be appointed as a non-executive director of the Company; and to discuss Michael Bartusiak having consented to act be appointed as a non-executive director of the Company. Reported Earnings • Nov 30
Full year 2022 earnings released: EPS: UK£0.046 (vs UK£0.056 in FY 2021) Full year 2022 results: EPS: UK£0.046 (down from UK£0.056 in FY 2021). Revenue: UK£247.2m (up 8.4% from FY 2021). Net income: UK£9.01m (down 17% from FY 2021). Profit margin: 3.6% (down from 4.8% in FY 2021). The decrease in margin was driven by higher expenses. Like-for-like sales growth: 9.4% vs FY 2021 Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 5.3% growth forecast for the Specialty Retail industry in the United Kingdom. Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent Non-Executive Chairman Darren Shapland was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Buying Opportunity • Sep 15
Now 25% undervalued after recent price drop Over the last 90 days, the stock is down 6.4%. The fair value is estimated to be UK£0.59, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company has become profitable. Buying Opportunity • Aug 18
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be UK£0.56, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company has become profitable. Price Target Changed • Jul 07
Price target decreased to UK£0.90 Down from UK£1.05, the current price target is an average from 2 analysts. New target price is 131% above last closing price of UK£0.39. Stock is down 46% over the past year. The company posted earnings per share of UK£0.056 last year. Upcoming Dividend • Jun 02
Upcoming dividend of UK£0.01 per share Eligible shareholders must have bought the stock before 09 June 2022. Payment date: 15 July 2022. Payout ratio is a comfortable 67% and this is well supported by cash flows. Trailing yield: 3.8%. Lower than top quartile of British dividend payers (4.9%). Higher than average of industry peers (3.0%). Reported Earnings • May 25
First half 2022 earnings released First half 2022 results: Revenue: (down 100% from 1H 2021). Net income: (down UK£3.04m from profit in 1H 2021). Profit margin: (down from 2.9% in 1H 2021). The decrease in margin was driven by lower expenses. Over the next year, revenue is forecast to stay flat compared to a 11% growth forecast for the industry in the United Kingdom. Price Target Changed • Apr 27
Price target increased to UK£1.05 Up from UK£0.85, the current price target is an average from 2 analysts. New target price is 88% above last closing price of UK£0.56. Stock is down 20% over the past year. The company posted earnings per share of UK£0.056 last year. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 4 non-independent directors. Independent Non-Executive Chairman Darren Shapland was the last independent director to join the board, commencing their role in 2015. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Dec 16
Upcoming dividend of UK£0.031 per share Eligible shareholders must have bought the stock before 23 December 2021. Payment date: 31 January 2022. Payout ratio is a comfortable 56% but the company is not cash flow positive. Trailing yield: 4.6%. Within top quartile of British dividend payers (4.2%). Higher than average of industry peers (1.7%). Reported Earnings • Dec 02
Full year 2021 earnings: EPS in line with expectations, revenues disappoint Full year 2021 results: EPS: UK£0.056 (up from UK£0.041 loss in FY 2020). Revenue: UK£228.0m (up 18% from FY 2020). Net income: UK£10.9m (up UK£18.8m from FY 2020). Profit margin: 4.8% (up from net loss in FY 2020). The move to profitability was driven by higher revenue. Like-for-like sales growth: 19.6% vs FY 2020 Revenue missed analyst estimates by 100%. Over the next year, revenue is forecast to grow 2.3%, compared to a 11% growth forecast for the retail industry in the United Kingdom. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has only fallen by 1% per year, which means it has not declined as severely as earnings. Executive Departure • Jun 19
Independent Non-Executive Director Claire Tiney has left the company On the 16th of June, Claire Tiney's tenure as Independent Non-Executive Director ended after 9.6 years in the role. As of March 2021, Claire still personally held only 15.48k shares (UK£11k worth at the time). Claire is the only executive to leave the company over the last 12 months. The current median tenure of the management team is 2.29 years. Reported Earnings • May 22
First half 2021 earnings released: EPS UK£0.016 (vs UK£0.015 loss in 1H 2020) The company reported a decent first half result with improved earnings and profit margins, although revenues were weaker. First half 2021 results: Revenue: UK£103.2m (down 2.8% from 1H 2020). Net income: UK£3.04m (up UK£5.96m from 1H 2020). Profit margin: 2.9% (up from net loss in 1H 2020). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 84 percentage points per year, which is a significant difference in performance. Price Target Changed • May 18
Price target increased to UK£1.05 Up from UK£0.80, the current price target is an average from 2 analysts. New target price is 44% above last closing price of UK£0.73. Stock is up 96% over the past year. Is New 90 Day High Low • Mar 11
New 90-day high: UK£0.67 The company is up 17% from its price of UK£0.57 on 10 December 2020. The British market is up 4.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£0.46 per share. Is New 90 Day High Low • Jan 19
New 90-day high: UK£0.60 The company is up 30% from its price of UK£0.46 on 21 October 2020. The British market is up 16% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£0.45 per share. Is New 90 Day High Low • Dec 31
New 90-day high: UK£0.58 The company is up 19% from its price of UK£0.49 on 02 October 2020. The British market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 10.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£0.43 per share. Reported Earnings • Dec 02
Full year 2020 earnings released: UK£0.041 loss per share The company reported a poor full year result with weaker earnings, revenues and control over expenses. Full year 2020 results: Revenue: UK£192.8m (down 12% from FY 2019). Net loss: UK£7.97m (down 179% from profit in FY 2019). Over the last 3 years on average, earnings per share has fallen by 63% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Analyst Estimate Surprise Post Earnings • Dec 02
Revenue beats expectations Revenue exceeded analyst estimates by 0.9%. Over the next year, revenue is forecast to grow 10%, compared to a 3.6% growth forecast for the Specialty Retail industry in the United Kingdom. Is New 90 Day High Low • Dec 01
New 90-day high: UK£0.56 The company is up 13% from its price of UK£0.50 on 02 September 2020. The British market is up 7.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Specialty Retail industry, which is up 11% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£0.13 per share.