Pre-tax profit soars by 61% at structural steel group thanks to high demand for large scale projects
Pre-tax profit at structural steel group Severfield-Rowen shot up 61% to 拢11.81m in its interims results with the company predicting ongoing strong performance due to a bumper order book and buoyant market conditions.
Revenue increased 17% to 拢130.77m for the first six months to 30 June 2006, up from 拢112.03m for the same period last year.
The group took steps to improve its margins and this was reflecting in the results. Operating margin for the period increased to 8.7% up from 6.4%.
In its statement to the stock exchange to day, the company also announced changes to its board. Geoff Wright has been appointed as a non-executive director. This summer Wright retired as director of construction at Hammerson where he worked for 27 years.
Peter Levine, chairman said: 鈥淥ur excellent order book gives us good visibility and we are operating in a buoyant market which is experiencing a high demand for large scale projects.
"With strong demand for the group's products and services, group-wide production efficiencies enhancing margins and with every group subsidiary contributing profitably, we are confident in the group's prospects for the second half and beyond.鈥�
