Marshalls
Website:
Marshalls
Index:
FTSE 250
EPIC: MSLH
Supersector:
Construction and Materials
Sector:
Construction and Materials
Subsector:
Building Materials and Fixtures
Market Cap:
£332.91M
Payout Frequency: Semi-Annual
Marshalls Dividend Analysis and Summary
Key Dividend Details
- Proposed final dividend: 4.5p per share (FY24: 5.4p; -17% y/y)
- Interim dividend: 2.2p; Proposed total FY25 dividend: 6.7p (FY24: 8.0p; -16% y/y)
- Dividend policy: c.2x cover by adjusted earnings; FY25 adjusted EPS 13.4p ? cover ~2.0x (payout ~50%)
- Ex-dividend date: 04/06/2026
- Record date: 05/06/2026
- Payment date: 01/07/2026
- Subject to approval at the AGM on 13/05/2026
Dividend Sustainability and Growth Outlook
- Coverage and cash: The reduced payout restores policy alignment (~2.0x cover). Cash generation remains solid with 88% adjusted operating cash flow conversion and disciplined working capital.
- Balance sheet and funding: Pre-IFRS 16 net debt £137.9m, leverage 1.8x pre-IFRS 16 EBITDA; £270m facility refinanced to 2029 with £125m undrawn headroom. Pension in surplus (£24.9m)—no funding drain.
- Earnings trajectory: FY25 adjusted EPS declined 16%; Landscaping margins weak (0.2%). Management expects medium-term profit improvement supported by the "Transform & Grow" plan and £11m annualised cost savings by end-2026, plus Water Management exposure to AMP8. Near-term, Viridian Solar growth moderates in 2026. Overall, the current dividend level looks maintainable; scope for growth depends on delivery of margin recovery and market stabilisation.
Support from Financial Performance and Capital Allocation
- Capital allocation: Maintaining investment focus (capex guidance £20–30m p.a.) on efficiency and resilience while preserving dividend cover. Dividend cut reflects weaker profitability and commitment to 2x cover.
- Cash priorities: Emphasis on margin, cash and service outcomes; refinancing extends liquidity runway. Interest paid rose (£16.1m), so income cover by free cash will remain a watchpoint until savings flow through.
Structural or Policy Changes Relevant to Future Dividends
- Refinancing: £270m syndicated facility extended to Nov 2029 on unchanged terms—enhances dividend visibility by securing funding headroom.
- Operational restructuring: Partial site closure and exit from UK-quarried natural stone processing; targeted £11m annualised cost savings by end-2026—supports future earnings/cash generation.
- Contingent consideration: Final Viridian Solar earn-out (£6.6m) settled—removes a non-recurring cash outflow.
- No M&A, demergers, or share consolidation announced that would alter dividend mechanics.
Risks and Flags for Dividend Stability
- End-market softness: UK housing and RMI remain subdued; management not assuming a near-term recovery.
- Mix/competition: Roofing facing competitive intensity (added concrete tile capacity); Landscaping profitability still fragile.
- Regulatory dependence: Viridian Solar growth to moderate in 2026; medium-term outlook tied to energy efficiency regulations (Future Homes Standard).
- Restructuring and execution: Further savings to deliver in 2026; any slippage could pressure margins and cover.
- Leverage/interest: Leverage at 1.8x; higher interest outflows may constrain discretionary cash if trading weakens.
- Macro/geopolitical/weather: Ongoing uncertainty (e.g., Middle East conflict; adverse weather) could weigh on demand and costs.
Read more
Marshalls Annual Dividend Yield - 5.81%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 05/06/2025 |
01/07/2025 |
Final |
5.40p |
GBX |
| 23/10/2025 |
01/12/2025 |
Interim |
2.20p |
GBX |
Total (Annual Dividends Per Share):
7.60p
Dividend Yield =
Annual Dividends Per Share (7.60p)
÷ Share Price (130.9p)
= 5.81%
Marshalls Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 04/06/2026 |
01/07/2026 |
Final |
4.5000p |
GBX |
| 23/10/2025 |
01/12/2025 |
Interim |
2.20p |
GBX |
| 05/06/2025 |
01/07/2025 |
Final |
5.40p |
GBX |
| 24/10/2024 |
02/12/2024 |
Interim |
2.60p |
GBX |
| 06/06/2024 |
01/07/2024 |
Final |
5.70p |
GBX |
| 19/10/2023 |
01/12/2023 |
Interim |
2.60p |
GBX |
| 01/06/2023 |
03/07/2023 |
Final |
9.90p |
GBX |
| 20/10/2022 |
01/12/2022 |
Interim |
5.70p |
GBX |
| 09/06/2022 |
01/07/2022 |
Final |
9.60p |
GBX |
| 21/10/2021 |
01/12/2021 |
Interim |
4.70p |
GBX |
| 03/06/2021 |
01/07/2021 |
Final |
4.30p |
GBX |
| 04/06/2020 |
30/06/2020 |
Special |
4.00p |
GBX |
| 04/06/2020 |
30/06/2020 |
Final |
9.65p |
GBX |
| 17/10/2019 |
04/12/2019 |
Interim |
4.70p |
GBX |
| 06/06/2019 |
28/06/2019 |
Special |
4.00p |
GBX |
| 06/06/2019 |
28/06/2019 |
Final |
8.00p |
GBX |
| 18/10/2018 |
05/12/2018 |
Interim |
4.00p |
GBX |
| 07/06/2018 |
29/06/2018 |
Special |
4.00p |
GBX |
| 07/06/2018 |
29/06/2018 |
Final |
6.80p |
GBX |
| 19/10/2017 |
06/12/2017 |
Interim |
3.40p |
GBX |
| 15/06/2017 |
30/06/2017 |
Special |
3.00p |
GBX |
| 15/06/2017 |
30/06/2017 |
Final |
5.80p |
GBX |
| 20/10/2016 |
02/12/2016 |
Interim |
2.90p |
GBX |
| 02/06/2016 |
08/07/2016 |
Special |
2.00p |
GBX |
| 02/06/2016 |
08/07/2016 |
Final |
4.75p |
GBX |
| 22/10/2015 |
04/12/2015 |
Interim |
2.25p |
GBX |
| 04/06/2015 |
03/07/2015 |
Final |
4.00p |
GBX |
| 23/10/2014 |
05/12/2014 |
Interim |
2.00p |
GBX |
| 04/06/2014 |
04/07/2014 |
Final |
3.50p |
GBX |
| 23/10/2013 |
06/12/2013 |
Interim |
1.75p |
GBX |
| Year |
Interim |
Final |
Special |
Currency |
Total |
Change |
| 2024 |
2.600 |
5.700 |
|
GBX |
8.300 |
-33.600 |
| 2023 |
2.600 |
9.900 |
|
GBX |
12.500 |
-18.300 |
| 2022 |
5.700 |
9.600 |
|
GBX |
15.300 |
70.000 |
| 2021 |
4.700 |
4.300 |
|
GBX |
9.000 |
-34.060 |
| 2020 |
|
9.650 |
4.000 |
GBX |
13.650 |
-18.260 |
| 2019 |
4.700 |
8.000 |
4.000 |
GBX |
16.700 |
12.830 |
| 2018 |
4.000 |
6.800 |
4.000 |
GBX |
14.800 |
21.310 |
| 2017 |
3.400 |
5.800 |
3.000 |
GBX |
12.200 |
26.420 |
| 2016 |
2.900 |
4.750 |
2.000 |
GBX |
9.650 |
54.400 |
| 2015 |
2.250 |
4.000 |
|
GBX |
6.250 |
13.630 |
| 2014 |
2.000 |
3.500 |
|
GBX |
5.500 |
214.280 |
| 2013 |
1.750 |
|
|
GBX |
1.750 |
|
Marshalls Dividend Calculator
Marshalls Dividend Growth
| Dividend Growth (1Y) |
-16.25%
|
| Dividend CAGR (5Y) |
9.28%
|
| Years of Growth |
–
|
| Payout Ratio |
133.33%
|
| Buyback Yield |
-0.27%
|
| Shareholder Yield |
4.82%
|
| P/E Ratio (TTM) | 23.38 |
|---|
| Forward P/E | 8.77 |
|---|
| P/FCF | 14.45 |
|---|
| Earnings Yield | 4.35% |
|---|
| FCF Yield | 6.92% |
|---|
| ROE | 2.19% |
|---|
| ROCE | 5.11% |
|---|
| Profit Margin | 2.28% |
|---|
| Operating Margin | 7.4% |
|---|
| Gross Margin | 61.95% |
|---|