Sales recovering at listed landscapes products firm
Manufacturer and landscape products group, Marshalls, has reported full year revenue of £469.5m (2019: £541.8 million) in its full year results for the year ended 31 December 2020.
Its figures before operational restructuring costs and asset impairments, also include pre-tax profits of £22.5m (2019: £69.9m) and EBITDA of £57.6m (2019: £103.9m)
Marshalls says it has seen progressive growth in sales over the second half of 2020, with sales in quarter four ahead of prior year.
It highlights strong growth in domestic sales – with growth of 9% in the second half of 2020 – along with an increase in international sales of 16% and full repayment of all Government Coronavirus assistance (furlough and deferred VAT).
The Elland-based company completed an operational restructuring exercise in the first half of 2020, which it says increased manufacturing efficiency and operational flexibility, with its fixed costs cut by £12m per annum.
And it notes it has £30m worth of capital investment planned for 2021.
Responding to the results today, chief executive Martyn Coffey said: “Trading has started strongly in 2021. At the end of February, sales are up 7% and orders are up 12% compared to same period in 2020.
“The CPA’s winter base case scenario predicts an increase in UK market volumes of 14% in 2021 and 4.9% in 2022.
“Despite wider market uncertainty, the underlying indicators in our main growth markets of New Build Housing, Road, Rail and Water Management remain positive.
“Although market demand remains uncertain, we remain focused on developing future growth opportunities and delivering the strategic objectives in our five-year Strategy.
“Our strategy continues to be underpinned by strong market positions, focused investment plans and an established brand. Marshalls’ liquidity is strong and will support our investment priorities going forward.
“Encouraged by the strong trading performance, the Board is raising its expectations for 2021.”
