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Highlights:

  • MSLH revenue rose 4% in H1 2025, driven by Building and Roofing Products.
  • Adjusted operating profit reaches GBP 28.4 million in H1 2025, lower Landscaping margins offset gains elsewhere.
  • MSLH guidance for FY25 adjusted profit before tax remains GBP 42 million- GBP 46 million..

Marshalls plc (LSE:MSLH), a UK-based manufacturer of products for the built environment, released its half-year results for the six months ended 30 June 2025. Group revenue increased by 4% compared to the same period last year, supported by growth in Building and Roofing Products. Landscaping Products recorded higher sales volumes and market share gains, but profitability was constrained by subdued demand, pressure on prices, and a less profitable product mix. Adjusted operating profit for the first half was GBP 28.4 million. Gains in Building and Roofing Products were partly offset by reduced profitability in Landscaping Products, which also faced manufacturing inefficiencies and targeted investment in pricing. Adjusted operating cash flow conversion reached 94% on an annualised basis, supported by disciplined working capital management. At period end, net debt stood GBP 4.2 million lower than a year earlier, with leverage remaining at 1.8 times adjusted annualised EBITDA. An interim dividend of 2.2 pence per share was declared, in line with the company’s policy.

The Landscaping Products improvement plan delivered increased volumes and market share, though weaker end markets affected pricing power. Measures to accelerate the optimisation of the manufacturing footprint and reduce overhead costs are underway, targeting annualised savings of GBP 9 million by 2026. Roofing Products reported continued growth, led by Viridian Solar and supported by Marley Roofing. In Building Products, Water Management and Mortars performed well, while Bricks and Masonry experienced lower revenues as the company prioritised margins in a competitive environment.

The board expects no improvement in market activity levels through the rest of 2025, maintaining guidance for adjusted profit before tax between GBP 42 million and GBP 46 million. Management will continue implementing the Landscaping Products performance improvement plan and the manufacturing network optimisation strategy. In the medium term, the company anticipates opportunities linked to government commitments for new housing and infrastructure investment. This is expected to benefit areas such as Water Management and Roofing, particularly with ongoing regulatory focus on energy efficiency in new homes.

Chief Executive Matt Pullen noted that while overall profit fell short of internal expectations, the business has made early progress on operational improvements in Landscaping Products and continues to see growth opportunities in Roofing and Building Products. Marshalls operates across multiple segments, including Landscaping Products, Roofing Products, and Building Products, supplying to both commercial and domestic markets in the UK and abroad.

MSLH is trading 0.79% lower at GBX 204.86 per share as of 11 August 2025.