Marshalls to close Maltby concrete manufacturing site but hopes to reopen when trading improves

Marshalls said that while operations were being shut down at Maltby it would retain the site in the hope of reactivating works when trading conditions improve.

The Maltby plant was bought by Marshalls in 1969 and is one of 12 concrete manufacturing sites owned by the group.

Today's half-year figures showed revenues in the six months to June 30 were 5% down on a year earlier at £167.5 million after sales to the home improvement market slumped by 14% in a rain-soaked second quarter - usually a key trading period for the group.

Its larger division targeting the public sector and commercial market, which accounts for around 62% of sales, was less impacted by weather, down by 2% in the first half.

Marshalls offered some positive news for its domestic market, with installation order books standing at nine weeks against seven-and-a-half weeks in April, although this was partly due to a backlog of work postponed due to rain.

The group added that cost cutting efforts so far had helped improve trading margins, which were up by 1% since the first half. Its cost cutting plans aim to boost profits by £7 million a year, according to the group.

It is also looking to expand its international business to offset the domestic economic woes. International operations, which account for 5% of group sales, saw growth of 24% in the first half.

In the UK, Mr Holden said he hoped the group would be chosen to supply paving slabs for the post London 2012 project for the Olympics Games site, having been heavily involved in the construction of the park and athletes village.

Chris Millington, analyst at Numis Securities, said: "Marshalls is contending with exceptionally challenging market conditions, but the actions of management will ensure that the company emerges as the clear winner in the landscape products market."