UPDATE 1-Marshalls says trading still tough, sales down 18%

* Revenues in 10 months at 277 million pounds

* Daily sales revenue down 17 percent

* Shares down 1.3 percent (Adds detail, shares price, analyst)

LONDON, Nov 10 (Reuters) - British building materials and landscaping company Marshalls (MSLH.L) said trading remained challenging as it posted an 18 percent fall in 10-month sales.

Marshalls said on Tuesday it was focused on reducing stock and capital expenditure in order to lower its debt, and has a temporary "lay-off" plan in place, if needed.

The company, which operates its own quarries and sites selling a range of products from mortar and paving to street furniture, said revenue fell to 277 million pounds ($462 million) in the 10 months to end-October.

Daily sales revenue was down 17 percent on a like-for-like basis in the period while sales to the public sector and commercial market fell 18 percent.

The outlook for the British construction sector remains fragile, highlighted by recent data showing activity fell at a faster pace in October than in September and fears over public sector cuts. [ID:nL3579707]

"The update this morning from Marshalls demonstrates that trading since we last heard from the group has improved slightly, with like-for-likes benefitting from weaker comparatives, but has continued to remain challenging," said analysts at WH Ireland, lowering their earnings estimates.