Firm reports that interim figure fell by a third

Google steelwork contractor Severfield said it expects profit to bounce back in the second half after the firm鈥檚 pre-tax profit slumped by a third in the first six months of the year.

The contractor, which has now completed its work on the City of London鈥檚 tallest tower, 22 Bishopsgate, said pre-tax profit dropped to 拢8.2m in the six months to September from 拢13.1m during the same period last year.

Chief executive Alan Dunsmore said its results for its 2020 financial year, which finishes at the end of next March, were 鈥渆xpected鈥� to be more second-half weighted and that its full year numbers were in line with expectations.

Farrat CPD June 2019 22 Bishopsgate during construction with Farrat Thermal Break in-situ, courtesy of Severfield

Severfield has now completed work at 22 Bishopsgate

The firm said its pipeline of future orders remained stable with 鈥渁 good balance of work across all key market sectors鈥�.

It said the firm鈥檚 order book at the beginning of the month stood at 拢323m, up from the 拢295m it posted at the beginning of June. This included 拢20m worth of work from Harry Peers, the Bolton-based nuclear and power steel specialist it snapped up for 拢25m last month.

Severfield said its share of profit from its Indian joint venture more than trebled to 拢1.3m with Severfield adding that it was also looking at making inroads into the medium to high-rise residential construction market. It said it had 鈥渄eveloped a steel solution in what has traditionally been a concrete-dominated sector鈥�.

Revenue at the firm dropped 12% during the period to just under 拢132m.