Marshalls Unveils New Strategic Focus: Transform and Grow
Wednesday, Nov 20, 2024 4:59 am ET
4min read Marshalls PLC, a UK sustainable solutions manufacturer for the built environment, has unveiled its new strategic focus and medium-term targets at the Capital Markets Event. The company aims to position itself for long-term market outperformance by leveraging its brand presence, technical and design support, and carbon leadership reputation. The new strategy, named 'Transform and Grow,' aligns with the company's purpose and vision, "Building Tomorrow’s World," addressing major drivers shaping the built environment, including climate change and regulatory changes.
The company's new strategy focuses on capitalising on long-term trends such as green urbanization and low-carbon solutions. By targeting key customer segments and driving sustainable growth, Marshalls aims to outperform the wider construction market by 2 to 4% and achieve an operating margin of 15% over the medium term. The company plans to adopt a capital-lite strategy, with annual capital expenditure of between GBP20 million and GBP30 million, and a target return on capital employed of 15%. Additionally, Marshalls aims to maintain a balance sheet with a pre-IFRS net debt range of between 0.5 times and 1.5 times earnings before interest, taxes, depreciation, and amortisation.
Marshalls' business units, including Marshalls Landscaping, Marley Roofing, Viridian Solar, Marshalls Water Management, and Marshalls Bricks & Masonry, have outlined dedicated strategies to deliver market outperformance and sustainable profitable growth. These strategies are expected to drive the business to achieve its financial targets and outperform the wider construction market.
Marshalls' new strategy is designed to deliver a business capable of sustained market outperformance. By capitalising on long-term trends, targeting key customer segments, and driving sustainable growth, the company aims to generate significant and sustainable long-term shareholder value. The company's commitment to financial discipline, responsible growth, and efficient use of capital positions it well for success in the competitive construction market.
In conclusion, Marshalls' new strategic focus, 'Transform and Grow,' positions the company for long-term market outperformance by capitalising on trends such as green urbanization and low-carbon solutions. With a commitment to financial discipline, responsible growth, and efficient use of capital, Marshalls is well-equipped to achieve its medium-term financial targets and deliver sustainable growth for shareholders. As an investor, keeping an eye on Marshalls' progress and the broader construction market trends will be crucial in evaluating the company's potential for future growth and value creation.
The company's new strategy focuses on capitalising on long-term trends such as green urbanization and low-carbon solutions. By targeting key customer segments and driving sustainable growth, Marshalls aims to outperform the wider construction market by 2 to 4% and achieve an operating margin of 15% over the medium term. The company plans to adopt a capital-lite strategy, with annual capital expenditure of between GBP20 million and GBP30 million, and a target return on capital employed of 15%. Additionally, Marshalls aims to maintain a balance sheet with a pre-IFRS net debt range of between 0.5 times and 1.5 times earnings before interest, taxes, depreciation, and amortisation.
Marshalls' business units, including Marshalls Landscaping, Marley Roofing, Viridian Solar, Marshalls Water Management, and Marshalls Bricks & Masonry, have outlined dedicated strategies to deliver market outperformance and sustainable profitable growth. These strategies are expected to drive the business to achieve its financial targets and outperform the wider construction market.
Marshalls' new strategy is designed to deliver a business capable of sustained market outperformance. By capitalising on long-term trends, targeting key customer segments, and driving sustainable growth, the company aims to generate significant and sustainable long-term shareholder value. The company's commitment to financial discipline, responsible growth, and efficient use of capital positions it well for success in the competitive construction market.
In conclusion, Marshalls' new strategic focus, 'Transform and Grow,' positions the company for long-term market outperformance by capitalising on trends such as green urbanization and low-carbon solutions. With a commitment to financial discipline, responsible growth, and efficient use of capital, Marshalls is well-equipped to achieve its medium-term financial targets and deliver sustainable growth for shareholders. As an investor, keeping an eye on Marshalls' progress and the broader construction market trends will be crucial in evaluating the company's potential for future growth and value creation.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.