Billington celebrates 70th year with a hike in profits

The Barnsley-based firm said it has a strong forward order book and it expects a similar performance during the second half of the year, supported by a number of large contracts in the pipeline.

New contracts include a large retail distribution centre near Bristol, reported to be for online giant Amazon, and a deal for a new multi-storey structure for The London School of Economics.

Despite the slowdown in construction, Billington has seen good growth and strong demand.

Chief executive Mark Smith said: "We've seen a steady flow of enquiries in both quality and quantity. Our pipeline looks strong and the work expands seven sectors. There is commercial building in Manchester, Leeds and London, strong demand from retailers, energy from waste and school projects.

"We are not seeing one sector struggling and we are seeing larger projects feed through. We are a world class company that can deliver."

Revenue rose 27 per cent to £34m in the six months to June 30 and pre-tax profit rose 29 per cent to £2.2m.

With sites in Barnsley and Bristol, the group's Billington Structures division designs, fabricates and erects structural steel across all sectors of the UK market.

Mr Smith said it it is a nationally recognised and award-winning steelwork contractor with 70 years’ experience and has the capacity to process over 25,000 tonnes of steel per year.

Projects carried out during the half year include IKEA in Sheffield, commercial offices in London and, after successfully completing buildings 3, 5 & 6 of Wellington Place in Leeds, Billington has recently secured another two projects on the development.

"A year on from the Brexit vote and the market appears to be in a stable position, with UK consumption of constructional steel forecast to remain consistent into 2020," said Mr Smith.

"This stability provides Billington with the confidence to continue its growth strategy and the ability to meet demands and complete projects to the highest standard."

He said that Brexit has enabled the company to explore opportunities in Europe.

"We have been involved in tendering for some very large data centres in Holland and Belgium primarily," said Mr Smith.

European projects would use steel made in the UK and, as an exporter, the group is likely to benefit from the fall in the pound.

"The start of 2017 has been a busy period for Billington," said Mr Smith.

"The company is seeing a consistent rate and quality of enquires which are expected to continue. The group has a strong forward order book and the second half of the year looks to be equally as busy as the first."