Severfield, the Thirsk, North Yorkshire-based international steel group, published an AGM trading update on Tuesday saying its UK and Europe order book at September 1 stood at £420 million (1 July: £444m) of which £330 million is scheduled for delivery over the next 12 months.
“The order book remains well-diversified and contains a good mix of projects across the group’s key market sectors including in Europe, with 19 per cent of the order book representing projects in continental Europe and Ireland (1 July: 22 per cent),” said Severfield.
Severfield said its Indian joint venture JSSL had a record order book at September 1 of £252 million (1 July: £240m), which contains a strong mix of higher margin commercial work of 85 per cent (1 July: 86 per cent).
“The market backdrop is unchanged from that described in the outlook statement contained in the FY25 results which were announced on 24 July, and trading since the start of the financial year has been as expected,” said Severfield.
“In view of this, our expectations for FY26 are also unchanged from those communicated at the time of the release of the FY25 results, and we continue to anticipate that the full year results for FY26 will be significantly more second half weighted.
“Following the recent amendment and extension of its £60m Revolving Credit Facility (RCF) until December 2027 and the ongoing focus on cash generation and working capital control, the Group’s financial position remains good …”
Severfield announced on August 13 the appointment of Laing O’Rourke executive Paul McNerney as its new CEO “following a comprehensive executive search process.”
McNerney will take up this new role in the Autumn on a date yet to be agreed.
Former Severfield CEO Alan Dunsmore stepped down “by mutual consent” after seven years on June 30.
The company’s shares are down more than 60% for the past year, reducing the company’s stock market value to about £95 million.
Severfield’s high-profile achievements in recent years have included its work on Wimbledon No.1 Court, Tottenham Hotspur FC Stadium, First Direct Arena, Outernet London and the Lord’s Cricket Ground Expansion.