Thirsk’s Severfield incurs £1m costs on London skyscraper programme

Thirsk-based structural steel firm Severfield plc has provided an update on the current work being undertaken at London’s Leadenhall Building and how the company’s overall trading has performed.

Severfield has already sustained £1m of costs to the Leadenhall Building’s bolt replacement works programme, which relates to a contract completed by the company in 2013.

For this particular programme British Land, Laing O’Rourke and Arup are all workking alongside one another - a collaboration which will like continue until the end of the year.

While the work is still ongoing, all groups are still holding discussions to decide where the liability for the costs of the programme should lie.

Current trading -

As for the company’s overall trading performance, the results are still meeting the management expectations. Furthermore, its financial situation is still satisfactory and the overall net funds are predicted to remain positive at the year end.

Operational and margin improvements have been Severfield focal point for this current year, whereas revenue has taken a step back.

However, the UK order book of £194m has also improved in the past several months and therefore secures a stable platform for a return to revenue growth in the next financial year.