Marshall went into losses after Patios and Driveway Specialists started the year poorly.
Fewer homes are being built in the wake of a disastrous mini-budget last September, FTSE 250 landscaping group said.
It also pointed to a rise in mortgage costs as the Bank of England raised interest rates as well as the end of the Help to Buy scheme.
At the same time, Marshall said families were not spending as much on their homes and gardens as they did during the pandemic when business boomed.
In such a situation, sales in the first four months of 2023 were 14 percent less than the same period last year.
Recession: Fewer homes are being built in the wake of the disastrous mini-budget last September, said FTSE 250 landscaping group Marshall
And in another blow, Marshall warned that its full-year results were likely to come in below expectations.
The Yorkshire-based firm is planning to eliminate 70 jobs in a bid to save money. The company’s shares, which had been trading above £8 each during the pandemic, fell 8.7 per cent, or 26p, to 272p.
The FTSE 100 fell 0.2 percent, or 14.29 points, to 7764.09 and the FTSE 250 fell 0.9 percent, or 175.46 points, to 19277.04.
Official data out of China was a mixed bag as the world’s second-largest economy grew faster than expected in the first three months of the year. But imports fell 7.9 percent year-on-year in April while export growth slowed.
‘The numbers are yet another warning light that China is far from immune to a global recession,’ said Susannah Streeter, head of money and markets at Hargreaves Lansdowne.
Investors had a lot to digest closer to home.
Data from Halifax shows house prices rising at their slowest pace in more than a decade as rising interest rates take their toll.
Shares in builder Persimmon fell 2.3 per cent, or 32p, to 1335.5p, Berkeley Group fell 2.2 per cent, or 98p, to 4368p and Taylor Wimpy fell 1.6 per cent, or 1.95p, to 124.1p.
Stock Watch – Hostelworld
Business at online travel agent Hostelworld is booming as holidaymakers skyrocket after the pandemic.
The company said bookings in several key destinations are above pre-Covid levels.
Hostelworld said it posted record revenue in the first quarter of the year.
It expects revenue to rise by 30 per cent this year, while profit should be between £14.3 million and £14.8 million, well ahead of the City’s forecast of £12.7 million.
Shares rose 4.3 per cent, or 5.5p, to 135p.
Victoria Schaller, head of investments at Interactive Investor, said: ‘Many potential buyers are holding out amid expectations that property prices will cool down later this year and mortgage rates will come down as inflation finally starts to come down.’
Direct Line warned that its earnings could come under pressure this year due to the rising cost of repairing damaged cars.
Motor insurers have been hit by rising prices of second hand cars and parts as well as higher labor costs. Shares fell 4.6 per cent or 7.55p to 156.8p
The DCC Chief Executive has to temporarily step down due to health reasons. Donal Murphy, who has led the Irish group since July 2017, will ‘address a medical situation’ and hand over his day-to-day responsibilities to finance chief Kevin Lucy for the next few weeks.
The DCC said it expected to return to work normally before the annual general meeting in July.
Shares fell 3.1 per cent, or 151p, to 4714p. Ingredients maker Treat highlights China’s reopening as it posts record half-year revenue.
Sales rose 14.6 per cent to £76 million in the six months to the end of March, while profit rose 15 per cent to £7.3 million.
Revenue across China – which it said remains an ‘important strategic area’ – soared 38.6 per cent during the period as Covid measures were lifted. But shares fell 2.1 per cent, or 14p, to 650p.
TT Electronics said revenue in the first four months of 2023 was up 16 percent compared to the same period a year ago. Shares in the electronic components maker rose 1.1 per cent, or 1.8p, to 171.6p.
Victrex saw polymer slide sales up 14 per cent to 1,941 tonnes in the six months to the end of March.
Profit fell 10 per cent to £39.1 million due to weak demand, a higher wage bill and an increase in investment. Shares fell 9.6 per cent, or 160p, to 1504p.
Some links in this article may be affiliate links. If you click on them we may earn a small commission. This helps us fund This Is Money, and keeps it free to use. We do not write articles to promote products. We do not allow any commercial relationship to influence our editorial independence.
Source: www.dailymail.co.uk