Slide 1: 2010 Results Review and Outlook
Presentation Booklet 2010:Layout 1 23/2/11 12:54 Page 3 Presentation Booklet 2010:Layout 1 23/2/11 12:54 Page 3 2010 RESULTS RE VIE W AND OUTLOOK 2010 RESULTS RE VIE W AND OUTLOOK Presentation Booklet 2010:Layout 1 23/2/11 12:54 Page 3 Presentation Booklet 2010:Layout 1 23/2/11 12:54 Page 3 2010 RES
Slide 2: Marshalls
OQ OQ Marshalls Marshalls Coenting Barter Candrenger Coenting Barter Candrenger & & OQ OQ Marshalls Marshalls Coenting Barter Candrenger Coenting Barter Candrenger
Slide 3: Highlights
Highlights Highlights Reported results: 2010 2009 Reported results: 2010 2009 Revenue £323.1m £311.7m Revenue £323.1m £311.7m EBITDA £31.1m £28.8m EBITDA £31.1m £28.8m Operating profit £11.8m £9.2m Operating profit £11.8m £9.2m Profit /(loss) before tax £9.2m £(2.4)m Profit /(loss) before tax £9.2m
Slide 4: Revenue
Revenue Revenue £m £m 378.1 378.1 311.7 323.1 311.7 323.1 Revenue growth 3.7% Revenue growth 3.7% Revenue Movement Revenue Movement Revenue 2008 2009 2010 Revenue 2008 2009 2010 £m £m 2009 311.7 2009 311.7 Working days: one extra in 2010 1.3 + 0.4% Working days: one extra in 2010 1.3 + 0.4% 313.0 31
Slide 5: Revenue Analysis
Revenue Analysis Revenue Analysis Public Sector and Commercial Revenue Public Sector and Commercial Revenue 60% of Group 60% of Group Like for like revenue up 6% Like for like revenue up 6% Price up 1% Price up 1% Volume up 5% Volume up 5% Domestic Revenue Domestic Revenue 40% of Group 40% of Group
Slide 6: Operating Profit
Operating Profit Operating Profit 2010 2009 2010 2009 £m £m £m £m EBITDA * 33.9 36.1 EBITDA * 33.9 36.1 Depreciation / amortisation (19.3) (19.7) Depreciation / amortisation (19.3) (19.7) Operating profit * 14.6 16.4 Operating profit * 14.6 16.4 Impact of severe weather in 2010 (2.8) - Impact of sev
Slide 7: Underlying Margin Reconciliation
Underlying Margin Reconciliation Underlying Margin Reconciliation Movement in Impact on Movement in Impact on Revenue Operating Margin Revenue Operating Margin Profit Profit £m £m % £m £m % 2009 311.7 16.4* 5.3* 2009 311.7 16.4* 5.3* Workings days: one extra in 2010 1.3 0.3 0.1 Workings days: one ex
Slide 8: Additional Information and Ratios
Additional Information and Ratios Additional Information and Ratios 2010 2009 2010 2009 Financial expenses: Financial expenses: Interest £2.2m £4.2m Interest £2.2m £4.2m Notional interest on pensions £0.4m £0.1m Notional interest on pensions £0.4m £0.1m Debenture redemption - £7.3m Debenture redempt
Slide 9: Free Cash Flow
Free Cash Flow Free Cash Flow Cash inflow arising from: 2010 2009 Cash inflow arising from: 2010 2009 £m £m £m £m Operating profit * 14.6 16.4 Operating profit * 14.6 16.4 2010 severe weather (2.8) - 2010 severe weather (2.8) - 11.8 16.4 11.8 16.4 Depreciation and amortisation 19.3 19.7 Depreciation
Slide 10: Cash Flow
Cash Flow Cash Flow 2010 2009 2010 2009 £m £m £m £m Free cash flow 28.8 37.4 Free cash flow 28.8 37.4 Investment: Investment: Capital expenditure (11.9) (9.2) Capital expenditure (11.9) (9.2) Acquisitions (0.1) (0.7) Acquisitions (0.1) (0.7) Sale proceeds 3.9 2.4 Sale proceeds 3.9 2.4 Works closure
Slide 11: Significant Borrowing Facilities
Significant Borrowing Facilities Significant Borrowing Facilities £m 220 £m 220 200 200 Expiry Date Facility Cumulative 180 Expiry Date Facility Cumulative 180 Facility 160 Facility 160 £m £m 140 £m £m 140 Committed facilities: 120 Committed facilities: 120 Q3 2014 20 20 100 Q3 2014 20 20 100 Q1 201
Slide 12: Pensions
Pensions Pensions Risk Management YE Risk Management YE 20 2008 20 2008 2000 closed to new members 2000 closed to new members 2006 closed to future service accrual 10 2006 closed to future service accrual 10 2007 investment strategy 0 YE 2007 investment strategy 0 YE Investment Strategy 2010 Investm
Slide 13: Latent Capacity Available
Latent Capacity Available Latent Capacity Available Overtime Working Overtime Working 17% 17% Latent Capacity Latent Capacity 17% 17% Operating Operating 66% 66% 12 12 Latent Capacity Available Latent Capacity Available Overtime Working Overtime Working 17% 17% Latent Capacity Latent Capacity 17% 17
Slide 14: Production Increasing
Ja Ja n- n- 60 70 80 90 100 110 60 70 80 90 100 110 08 08 M M ar ar -0 -0 8 8 M M ay ay -0 -0 8 8 Ju Ju l-0 l-0 8 8 Se Se p- p- 08 08 N N ov ov -0 -0 8 8 Ja Ja n- n- 09 09 M M ar ar -0 -0 9 9 M M ay ay -0 -0 9 9 Ju Ju l-0 l-0 9 9 Se Se p- p- 09 09 N N ov ov -0 -0 9 9 Ja Ja n- n- 10 10 M M ar ar -1 -
Slide 15: Geographical Coverage Maintained
Geographical Coverage Maintained Geographical Coverage Maintained Majority of customers within 2 Majority of customers within 2 hour drive time of Marshalls hour drive time of Marshalls regional manufacturing and regional manufacturing and distribution centres distribution centres Detailed optimisat
Slide 16: Public Sector and Commercial: Identify Future Spend
Public Sector and Commercial Public Sector and Commercial Identify Future Spend Identify Future Spend Future spend identified Future spend identified Marketing collateral developed Marketing collateral developed 15 15 Public Sector and Commercial Public Sector and Commercial Identify Future Spend Id
Slide 17: Public Sector and Commercial: Product Innovation Continues
Public Sector and Commercial Public Sector and Commercial Product Innovation Continues Product Innovation Continues Integrated offer and sales synergy Integrated offer and sales synergy Counter terror - quoted £3.5m, Counter terror - quoted £3.5m, specification £2.0m 16 specification £2.0m 16 Public
Slide 18: Domestic Market: Installer Initiatives
Domestic Market Domestic Market Installer Initiatives Installer Initiatives Marshalls Register - Installer Teams Marshalls Register - Installer Teams 1700 1700 1650 1650 1600 Customer service remains excellent 1600 Customer service remains excellent 1550 1550 1500 1500 1450 1450 1400 1400 1350 1350
Slide 19: Marshalls Revenue Per Day Index MAT
Marshalls Revenue Per Day Index MAT Marshalls Revenue Per Day Index MAT 100.0 100.0 98.0 98.0 96.0 96.0 94.0 94.0 92.0 92.0 Index Index 90.0 90.0 88.0 88.0 86.0 86.0 84.0 84.0 82.0 82.0 80.0 80.0 09 10 0 09 10 9 9 0 08 09 10 08 09 10 9 0 9 0 09 10 11 09 10 11 09 10 09 10 t-0 t-1 t-0 t-1 r-0 r-1 r-0
Slide 20: Public Sector and Commercial End Market
Ja Ja n- n- 05 05 Ap Ap r-0 r-0 5 5 Ju Ju l-0 l-0 5 5 O O ct ct -0 -0 5 5 Ja Ja n- n- 06 06 Ap Ap r-0 r-0 6 6 Ju Ju l-0 l-0 6 6 O O ct ct -0 -0 6 6 Ja Ja n- n- 07 07 Ap Ap r-0 r-0 7 7 Ju Ju l-0 l-0 7 7 O O ct ct -0 -0 7 7 Ja Ja n- n- 08 08 Ap Ap r-0 r-0 8 8 Ju Ju l-0 l-0 8 8 O O End Market End Marke
Slide 21: Domestic Market: Consumer Confidence and Installer Order Books
Domestic Market Domestic Market Consumer Confidence and Consumer Confidence and Installer Order Books Installer Order Books Rolling 12 Months Consumer Confidence v Installer Order Book (3 Month Lag) Rolling 12 Months Consumer Confidence v Installer Order Book (3 Month Lag) - 12.0 - 12.0 Ap 5 Ap 6 07
Slide 22: Summary of Outlook
Summary of Outlook Summary of Outlook Public Sector and Commercial end market Public Sector and Commercial end market Public currently stable, expect future weakness Public currently stable, expect future weakness Commercial recovery from low base, forward indicators positive Commercial recovery fro
Slide 23: Public Sector and Commercial Lead Indicator
102070_TB Marshalls Booklet.job Ja Ja n- n- 80.0 82.0 84.0 86.0 88.0 90.0 92.0 94.0 96.0 98.0 100.0 80.0 82.0 84.0 86.0 88.0 90.0 92.0 94.0 96.0 98.0 100.0 De De 05 c- 05 c- Ap 08 Ap 08 r-0 r-0 5 5 Ju Ju l-0 Fe l-0 Fe 5 5 O b- 09 O b- 09 ct- ct- 05 05 Ja Ja n- n- 06 Ap 06 Ap Ap r-0 Ap r-0 r-0 9 r-0
Slide 24: 23 23
23 23 23 23
Slide 25: Appendices
Appendices Appendices Appendices Appendices 102070_TB Marshalls Booklet.job
Slide 26: Construction Products Association
Construction Products Association Construction Products Association 2006 2007 2008 2009 2010 2011 2012 2006 2007 2008 2009 2010 2011 2012 £m/% change Actual Actual Actual Actual Estimate Forecast Forecast £m/% change Actual Actual Actual Actual Estimate Forecast Forecast Housing Housing 21,097 20,92
Slide 27: Historical Perspective
Historical Perspective Historical Perspective Operating Capital Operating Capital Revenue Profit Margin Expenditure Revenue Profit Margin Expenditure £000 £000 % £000 £000 £000 % £000 1990 181,447 28,630 15.8 36,143 1990 181,447 28,630 15.8 36,143 1991 184,370 18,697 10.1 11,959 1991 184,370 18,697
Slide 28: Financial Flexibility
Financial Flexibility Financial Flexibility Very comfortable headroom Very comfortable headroom 2010 2010 Actual Actual EBITA: Interest charge 6.9 times EBITA: Interest charge 6.9 times Net Debt: EBITDA 2.2 times Net Debt: EBITDA 2.2 times EBITA to interest charge must be greater than 2.5x EBITA to
Slide 29: Net Assets
Net Assets Net Assets £m £m £m £m 2009 Year End Net Assets 181.1 2009 Year End Net Assets 181.1 Impact of movements in year: Impact of movements in year: Trading 7.3 Trading 7.3 Dividends (10.3) Dividends (10.3) Actuarial movement on pensions (after tax) 20.1 Actuarial movement on pensions (after ta
Slide 30: Disclaimer
Disclaimer Disclaimer • For the purposes of the following disclaimer, references to this “presentation” shall be deemed to include references to • For the purposes of the following disclaimer, references to this “presentation” shall be deemed to include references to the presenters’ speeches, the qu
Slide 31: 102070_TB Marshalls Booklet.job
102070_TB Marshalls Booklet.job
Slide 32: 102070_TB Marshalls Booklet.job
102070_TB Marshalls Booklet.job