London, England, November 29, 2005--Flooring seller Topps Tiles reported a 12.9 percent increase in year underlying profit and said the trading environment was volatile and very tough.
Profit before tax and exceptional items was 37.5 million pounds in the year to October 1, compared to 33.3 million last year.
"There is no doubt that we, along with the rest of the UK retail sector, are experiencing a very tough trading environment," said Chief Executive Nick Ounstead.
"However, given the strength of these results, we believe we have the right business model and the best people to continue to gain marketshare," he added.
Topps said it thought the DIY sector remained stable in the mid to longer term, underpinned by a growing middle aged population, a rising number of households, increasing owner occupancy and ageing housing stock.
The total dividend was increased 18.8 percent to 9.5 pence a share.
Shares in Topps closed at 181 pence on Monday, valuing the group at around 410 million pounds.
