Marshalls revenue rises, well placed to deliver growth initiatives

FTSE 250 landscape products group Marshalls reported a rise in revenue for the six months ended 30 June and said it was well placed to deliver the growth initiatives set out in the 2020 strategy.

Revenues were up 2% in the six months to £202m, reflecting a stronger sales performance in May and June compared with the first four months of the year. UK revenue in these two months was 5% higher compared with the 2015 comparatives.

Marshalls said the domestic end market was particularly strong in May and June, with year-on-year growth of 12%. Sales in the domestic end market represented around 32% of overall sales in the six-month period.

Despite the improved sales performance, the survey of domestic installers at the end of June 2016 revealed order books remaining strong at 11.7 weeks versus 12 weeks in 2015. This compared with 12.4 weeks at the end of April 2016.

Marshalls said sales in the public sector and commercial end market also improved over the last two months, up 2% on the year before. They made up around 63% of total sales.

As far as the outlook is concerned, Marshalls said that notwithstanding the potential for uncertainty following the result of referendum, underlying indicators remain positive.

“Marshalls continues to be well placed to deliver the growth initiatives set out in the 2020 Strategy and continues to drive through sustainable cost reductions and improvements in operational efficiency.”