Topps Tiles CEO Rob Parker to Step Down After 18 Years
(Reuters) -Britain's Topps Tiles said on Wednesday its Chief Executive Officer Rob Parker would retire after 18 years with the tile retailer, after it reported a 4.6% jump in group sales in the first quarter, sending shares up as much as 8%.
Parker is departing at a time when Topps Tiles is refining its strategy to focus on expanding its online business, amid dissatisfaction from top investor MS Galleon, which in November raised concerns about long-term margin erosion at the company.
Parker, who joined the group in 2007, served as its chief financial officer for 12 years before becoming the CEO in 2019.
Topps Tiles, the UK's largest tile retailer with more than 300 stores, said that Parker will remain CEO until a successor is appointed, which is expected to occur by the end of 2025.
MS Galleon, which holds a 29.9% stake in Topps Tiles, welcomed the change of CEO, reckoning that the announcement followed the top investor's open letter to the company board in December calling for a review of leadership and strategy.
In May last year, Topps Tiles unveiled its new growth strategy, with a focus on growing its online business and expanding into the market for hard wall and floor surface coverings and related products.
The company said its group sales rose 12.9% in the most recent five-week period, partly driven by growth in its digital channels.
Peel Hunt analysts said in a note that Topps Tiles' trade initiatives are "showing traction" and its strategic progress
continues to show "clear momentum".
(Reporting by Aby Jose Koilparambil and Yadarisa Shabong in Bengaluru; Editing by Mrigank Dhaniwala, Sherry Jacob-Phillips and Louise Heavens)
