Business remains brisk at Severfield, steelwork firm says

Severfield’s workloads for the upcoming year stand at more than £380m as the steelwork firm said business remains brisk and is showing no signs of slowing down.

The firm said it had £382m of work committed for the next 12 months at the beginning of this month with its order book for work across the UK and Europe standing at £479m.

It added that more than 90% of this was from the UK with the remainder from mainland Europe and Ireland, mainly thought to be data centre work.

The firm said work in the distribution and industrial sectors was growing along with transport infrastructure, such as work on HS2, as well as nuclear, stadia and leisure.

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In a trading update this morning, it added: “Despite seeing further input cost inflation (including in steel prices) and some disruption to raw material supplies as a result of Russia’s invasion of Ukraine, we are currently managing these effectively, and steel remains largely a pass-through cost for the group.”

It said its business in India had turned in profit with its order book there standing at a record £166m.

Group year-end net debt was £19m with the firm releasing its results for the year to March on 15 June. Consensus full-year forecasts from analysts are turnover of £371m with underlying pre-tax profit of £28m.