Revenue for the six months ended 30 June 2009 fell to £166m from £211m in 2008, while underlying daily sales revenue on a like for like basis dropped 19%, the same as for the first four months.

As a result of the 2 for 5 rights issue at 65p, Marshalls' borrowings fell to £74m at 30 June from £111m at the end of 2008 and are expected to fall further in the second half.

"Sales demand remains uncertain with no clear pattern emerging," said the firm.