PAVING stone supplier Marshalls plc reported a “disappointing” 3% fall in revenue after bad weather in April hampered sales.

The Birkby-based group, which also has operations in Elland and Brighouse, posted revenue of £106m for the four months to the end of April against £109m for the same period last year. However, the latest figure was up on the figure of £98m in 2010.

Marshalls chief executive Graham Holden said: “After a satisfactory first quarter, sales did not show their usual post Easter uplift.

“Working conditions in April were disappointing, hampering sales and obscuring underlying market trends.”

The group said heavy rainfall in April was an important factor in the fall in sales of £5m during the month – equivalent to three days’ installations – against April last year.

Sales to the public sector and commercial end market, which represent about 64% of Marshalls’ revenue, were flat. Sales to the domestic end market were particularly hit by the bad weather and were 8% down on the previous year.

However, the survey of domestic installers at the end of April revealed a higher backlog of demand with order books of 7.5 weeks against 7.1 weeks last time. That is up from 6.3 weeks at the end of February, 2012.

Marshall, which supplies paving for driveways, footpaths and patios as well as major commercial projects including several London Olympic sites, said its international growth strategy was progressing well and to plan.

Mr Holden said the Construction Products Association continued to forecast a small reduction in UK market volumes in 2012. Against this backdrop, the group remained cautious about the short-term outlook.

But he said: “Marshalls has built increased financial and operational flexibility into its business in recent years and remains encouraged by the continuing strength of the private commercial end market – which has offset weakness in public sector – and the resilience of the installer order book.

“The positive impact of targeted growth initiatives should continue to mean that Marshalls is well placed to outperform the market.”

Rachael Waring, of Panmure Gordon, cut her full-year profit forecast by £1m to £12.5m, saying: “On a long-term basis, we remain positive on Marshalls, given our belief that the business is doing all the right things to position itself for market recovery. However, in the short term, the shares may struggle to make much progress”.