Marshalls landscape hits new lows as market diminishes

Sales in domestic landscaping products fell 13 percent in figures released by Marshalls to the London Stock Exchange on November 13th 2008.

Public and commercial sector rose by 4 percent but overall group revenues declined 3.5 percent in the ten months to October 2008.

In the statement, Marshalls say that demand had deteriorated in a number of markets and weakening demand in the commercial and industrial markets with projects being delayed or cancelled.

Worryingly for landscape contractors on the Marshalls Register, forward order books for installers are at 6.4 weeks continuing a downward trend - Oct 07:9.9wks; June 08:8.2wks; Sept 08:7.5wks.

I considered the statement by Marshalls from last year to sending out mixed signals but if there remained any doubt back in March, these grim sales forecasts confirm that the landscaping industry is contracting.

Marshalls share price hit an all time low of 82p leaving the group capitalised at £120 million.

To give you another view on how the current climate has affected building and landscaping suppliers, Travis Perkins shares have fallen from a high of £13.52 at the turn of the year to £2.80 today (down 6.6% today)

Comments

[Philip Voice]

Marshalls shares have fallen another 10p since this post.