(Image: Pic supplied)
A North Yorkshire-headquartered structural steel group has secured a number of new project wins in the data centre sector.
Severfield plc, which has operations at Dalton near Thirsk and Sherburn near Malton, announced a trading update ahead of its annual general meeting on Wednesday.
The company said the data centre projects are located in the UK, Germany and Sweden, and have contributed to an increased order book now totalling £534 million as of July 1, with £375 million scheduled for delivery in the next 12 months.
The Board's guidance for FY27 (the year to March 2027) is unchanged, including underlying profit before tax of £12m-£15m. The market backdrop is unchanged from that described in the outlook statement contained in the FY26 (the year to March 28 2026) results, announced on June 23.
- Severfield plc reports £450million sales in 2026 results
- Severfield intend to occupy Malton Enterprise Park
- Severfield of Thirsk releases latest half-yearly results
- Severfield reports bulging order book
- Steel firm Severfield reports better-than-expected profits
Paul McNerney, chief executive officer at Severfield, said: "We have made a positive start to FY27, with trading in line with expectations and guidance unchanged.
"Recent project wins, particularly in data centres, have strengthened our UK and Europe and Indian order books, which provides good visibility for FY27 and beyond."
Severfield said that its European markets, including the Republic of Ireland, now represent 32 per cent of its UK and Europe order book, up from 28 per cent in June, reflecting continued expansion on the continent.
Despite the project wins, the company noted that FY27 will remain a "transition year," as first-half results will reflect lower-margin work from a competitive pricing environment.
Higher-quality projects are expected to boost profitability later in the year and into FY28.
Mr McNerney said: "FY27 remains a transition year as we complete lower-margin work, but the improving quality of our order book and progress with our transformation programmes support our confidence in medium-term margin recovery.
"We look forward to updating the market further with our half-year results in November."
Severfield also reported that its Indian joint venture, JSSL, increased its order book to £327 million as of July 1, reflecting successful awards on a number of data centre projects.
The company will announce its half-year results for the period ending September 26 on November 24.