Topps Tiles is expected to report a 4.5% fall in like-for-like sales for the first half.
The tile specialist is expected to reveal a 2.5% fall in total revenues to £86.9m for the 26 weeks to March 31 when it reveals its interim results for the period on May 29.
“In continuing tough trading conditions the group’s sales performance in the first half has been broadly in line with management’s expectations,” the retailer said in a trading statement.
Second quarter like-for-like sales are expected to have decreased by around 4.8% compared to strong comparatives in 2011.
The retailer said the timing of the New Year Bank Holiday meant second quarter results contained one less trading day in 2012 and impacted on performance. Stripping out its impact, Topps Tiles predicts a like-for-like decline of 4%.
The group is currently trading from a total of 319 stores and expects to end the financial year with 325, in line with previous guidance.
Veteran retail analyst Nick Bubb said: “Ahead of today’s pre-close update we had been wondering whether the recent good weather has been bad news for Topps as tiling is a classic ‘indoors’ activity.
“The 13 weeks to March 31 are expected to be down by 4.8% like-for-like which is disappointing. There is no mention of gross margins in the statement, but we would assume this will mean slight downgrades on full year profit forecasts.”