Shares of Severfield, the Thirsk, North Yorkshire-based steel group, rose as much as 10% on Wednesday after it said its revenue rose 22% to £491.8 million and underlying profit before tax climbed 20% to £32.5 million, ahead of expectations, in the year ended March 25, 2023.

Total dividend increased by 10% to 3.4p per share.

Severfield reported a UK and Europe order book of £510 million at June 1, 2023, up from £464 million on November 1, including “new industrial and distribution, film studio, commercial offices and nuclear orders” and an India order book of £139 million.

In its outlook, Severfield reported a “significant pipeline opportunities in the UK and continental Europe” and said its India business is “well-positioned to take advantage of significant post-pandemic growth opportunities, very encouraging outlook for Indian economy and strong underlying demand for structural steel.”

Severfield CEO Alan Dunsmore said: “2023 was a very successful year for the group.

“We reported record revenue, delivered underlying profits ahead of expectations and secured a significant value of new, high-quality work across all our geographies.

“This demonstrates the success of our strategy to diversify the sectors and geographies we serve, reflects the high-quality of our operations and is testament to the talent and commitment of our people.

“We were also pleased to complete the acquisition of Voortman, which brings in new clients, sectors and opportunities, enhancing our position as one of Europe’s strongest structural steel groups, and positioning us for further growth in the region.

“Whilst there are signs of inflation easing, we remain mindful of the macro-economic backdrop. However, given the Group’s performance to date and the strength of our orders books, we are confident of delivering further progress and a result for 2024 which is in line with our expectations.”