For the six months ended 23rd September 2023, Severfield鈥檚 interim results show revenue down 8% at 拢215.3m (2023 H1: 拢234.9m) but profit before tax up 8% at 拢11.0m (2023 H1: 拢10.2m). Underlying operating profit was up 22% at 拢14.8m (2023 H1: 拢12.1m).
The half-year results include the acquisition of Voortman Steel Construction (VSCH), a Dutch steel fabrication company, which added 拢27.8m in revenues for the period.
Revenue from Severfield core construction operations was down by 拢47m.
Chief executive Alan Dunsmore said that the business had performed well 鈥渄espite the continuation of the challenging market conditions鈥�.
Severfield had 拢50m wiped from its order book back in July when Sunset Studios decided to pause construction on its planned new film production base in Hertfordshire. Despite this, other work is coming in.
鈥淭he current market conditions remain a challenge for the business,鈥� Alan Dunsmore said, 鈥渨ith some ongoing delays in the conversion of our existing pipeline of opportunities, as clients wait for economic stability, and some lower tendering activity and competitive pricing, particularly in the distribution sector. Despite this, we continue to see some large project opportunities in the UK and continental Europe and we have a prominent position in market sectors with strong growth potential and are well-positioned to win projects in support of a low-carbon economy.鈥�
Severfield鈥檚 order book stands at 拢482m, compared to 拢510m five months ago
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