Marshalls plc, the Elland, West Yorkshire-based stone and landscaping firm, said its first-half profit before tax fell 46% to £11.7 million in the six months to June 30, 2025, while revenue rose 4% to £319.5 million.
Interim dividend fell 15% to 2.2p per share, reflecting “the expectation of a reduction in adjusted earnings per share in 2025.”
In its outlook, Marshalls said: “Mindful of continuing uncertainty in the macro-economic environment, the board currently sees no improvement in market activity levels through the remainder of 2025 …”
Marshalls CEO Matt Pullen said: “The group returned to revenue growth of four per cent in the first half of the year despite a subdued market.
“This performance reflects the benefits of our diversified portfolio, with Building and Roofing Products delivering good revenue and operating profit growth, and Landscaping Products reporting solid volume growth during the period although at lower profitability.
“The Landscaping Products improvement plan is firmly underway, and we have made solid, early progress with operational improvements.
“Whilst profit was below expectations, we have strengthened customer relationships and seen volume growth in the first half. We are accelerating action to reduce costs and optimise our national manufacturing network, which is expected to improve Landscaping Products profitability materially in 2026 and deliver the turnaround.
“We are also delivering our growth strategies in Roofing and Building Products, building on our successful M&A strategy, by leveraging these growth engines to build a stronger and more diversified Group.
“In Roofing Products, Viridian Solar continues to benefit from its market-leading roof-integrated solar proposition and the regulatory tailwinds driving energy efficiency in new homes and Marley Roofing also continued to deliver revenue growth, reinforcing its leadership position.
“In Building Products, we have secured new work in Water Management and are developing operational capability as we reposition the business to capture growth opportunities in the infrastructure and wastewater market ahead of the AMP8 investment cycle.
“While revenue in Bricks and Masonry contracted, our disciplined approach to pricing has prioritised margins in a highly competitive environment.
“Looking ahead, while the macroeconomic outlook remains uncertain and markets are likely to stay subdued in the near term, we are encouraged by the Government’s commitment to new housing and infrastructure investment which, together with our ‘Transform & Grow’ strategy, positions us well for sustainable growth across all our businesses in the medium term.”