Severfield revenue up 11% to £363m, but profit slips

Thirsk, North Yorkshire-based steel group Severfield said on Wednesday its revenue rose 11% to £363.3 million in the year to March 31, 2021, but underlying profit before tax slipped to £24.3 million from £28.6 million.

Total dividend will be 2.9p per share, unchanged from the previous year.

Severfield said its UK and Europe order book stood at £301 million at June 1, 2021, and its India order book stood at £140 million, a record high for the company.

Severfield  CEO Alan Dunsmore said: “The group’s strategy to build a balanced business, with geographic, sector and client diversity, has facilitated not only revenue growth of around 30 per cent over the last three years but has also provided us with resilience during the pandemic.

“Our strong balance sheet and ability to generate cash has enabled us to continue to invest in our operations and in strategic acquisitions, such as DAM Structures.

“We have an established platform for further operational and strategic progress in the year ahead and with the current order book levels and pipeline activity, have the capacity to deliver enhanced shareholder returns in the future.”