Marshalls plc remains 'confident' after pre-tax profit hits £29m

Marshalls, the Elland-based landscape products group, is ‘confident’ in the success of this financial year after reporting growth in revenue and profits for the first half of 2017.

For the first six months of the year, Marshalls saw revenue rise by 8% to £219.1m and posted a 16% increase in pre-tax profit to £29.1m.

This growth was as a result of an increase in sales in the domestic and commercial end markets, as well as success in the group’s international business arm.

The group said that sales to the domestic end market increased by 17% compared with the prior year period. Domestic sales now represent approximately 34% of sales.

In addition, sales to the public sector and commercial end market, which represent approximately 60% of group sales, also rose by 3%. Internationally, sales in increased by 25% which was largely down to Marshall’s new sales office in Dubai.

Martyn Coffey, chief executive, said: “The Construction Products Association’s (“CPA”) recent Summer Forecast predicts growth in UK market volumes of 1.9% in 2017, which represents a slight improvement on their Spring Forecast.

“The Group continues to outperform the CPA growth figures and the underlying short to medium term market indicators remain supportive. The CPA’s 2018 forecast has recently been reduced, which reflects the continuing wider economic uncertainty.

“The Group continues to invest in product innovation and service delivery initiatives and is well placed to drive through further sustainable improvements in operational efficiency gains.

“The Board believes that Marshalls’ innovative product range and strong market positions will continue to support growth and operational profit improvements during the delivery of the 2020 Strategy and will drive future shareholder returns.

“The Group’s focus remains the delivery of the growth initiatives set out in the 2020 Strategy, whilst maintaining a strong balance sheet and a flexible capital structure.

“The Board remains confident of achieving its expectations for 2017.”

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →