Marshalls builds on firm foundations as revenues rise

LANDSCAPE products group Marshalls has put down a solid base in the first half of its financial year, with sales up 11% to £199m.

It described it as “an encouraging performance against already strong comparatives” and said its strong order intake would underpin momentum into the second half. In 2014 it enjoyed a 72% rise in pre-tax profits to £22.4m on the back of a 17% rise in revenues, to £358.5m.

The share price has doubled in a year, to Friday night’s close of 319.5p, which values the company at nearly £640m.

The Elland-headquartered business manufactures natural stone and concrete hard landscaping products, supplying the construction, home improvement and landscape markets.

 

Martyn Coffey, chief executive of Marshalls, said: “We are continuing to invest in the further development of the Marshalls brand across all of the group’s businesses, as well as in product innovation and service delivery initiatives to deliver continued sales growth, improved trading margins and increased return on capital employed.”

Sales growth was strongest in its public sector and commercial end market, which now represent nearly two-thirds of Marshalls’ total sales, were up 15% compared with 2014. It said it will continue to target those parts of the market where higher levels of growth are anticipated, such as rail, new build housing, water management and street furniture.

 

Sales to the domestic end market, which represent approximately 30% of Marshalls’ sales, were up 4%, while international sales grew by 7% in the first half of 2015.