Marshalls underpinned by strength in domestic market

Paving supplier Marshalls reported a rise in revenue for the first four months of the year thanks to solid demand in the domestic market.

Revenue was up 6% to £135m, with sales in the domestic end market, which account for 33% of group sales, up 13% compared with the same period a year ago. In addition, the company said a survey of domestic installers at the end of April revealed its highest ever order book of 12.7 weeks versus 12.4 weeks in 2016 and compared to 10.9 weeks at the end of February.

Sales in the public sector and commercial end market, which make up around 62% 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. Water Management, Rail and Newbuild Housing continue to show strong order intake.

"Group sales and order intake have continued to be strong in the first 4 months of 2017 such that the board is now increasingly encouraged regarding the group's performance for the current year overall.

"The board believes that Marshalls' innovative product range and strong market positions will continue to support the growth objectives of the 2020 Strategy and that the group is well placed to drive through further sustainable improvements in operational efficiency."

At 0940 BST, Marshalls shares were up 3.6% to 407p.