Marshalls posts rise in FY revenue, on track to meet 2017 expectations

Landscaping products supplier Marshalls reported a jump in full-year revenue on Wednesday as it expressed confidence in meeting its 2017 expectations.

In a trading update for the year to the end of December 2017, the company said revenue rose 8% to £430m. This includes a £9m contribution from CPM Group, which was acquired back in October and has traded strongly since joining the company. On a like-for-like basis and excluding the impact of CPM, revenue was 6% higher.

Sales in the domestic end market, which makes up around 32% of group sales, were up 12% compared with the previous year and the survey of domestic installers at the end of October revealed order books of 11.7 weeks versus 11.0 weeks in 2016 and 11.9 weeks at the end of June 2017.

Excluding CPM, sales in the public sector and commercial end market, which made up around 61% of group sales, were up 2% and Marshalls said it continues to target those parts of the market where higher levels of growth are anticipated including newbuild housing, water management and rail.

Marshalls said good progress was made during the year on the self-help capital investment programme, the development of new products and the group's digital strategy, all of which have been complemented by the acquisition of CPM, with its planned integration on track with the company’s expectations.

To date, the company said it continues to outperform growth figures from the Construction Products Association.

“Marshalls' innovative product range and strong market positions will continue to support our growth objectives and operational profit improvements through the delivery of its 2020 strategy.”