Billington cautiously optimistic for better year ahead

Steelwork contractor Billington has reported that its order book for 2021 is growing with both delayed and new projects, and the company is cautiously optimistic about the remainder of this year and the following 12 months.

Billington Chief Executive Officer Mark Smith said: “We have seen a significant impact on our first-half revenue, however with all group operations having now returned to near full capacity and with the majority of projects having restarted, we look forward to the remainder of the year.

“We anticipate improved group financial performance in the second half of the year, before hopefully moving to more normal trading conditions in 2021, assuming the economy stabilises and commences its recovery from the pandemic.”

Mr Smith added: “There are a number of larger projects in prospect and the number and quality of enquires is at near historic levels.

“We are seeing opportunities in all sectors, particularly large retail distribution warehouses, data centres, food processing developments, public sector works and rail infrastructure.”

Due to the COVID-19 pandemic, the company has also reported a 31 per cent drop in turnover in its latest financial results. Turnover was at £32.8M in the six months to 30 June 2020, falling from £47.2M the year before.

Meanwhile, the company’s pre-tax profit decreased by 77 per cent in the first six months of the year, down to £0.6M from £2.68M in the same six-month period in 2019.

On a positive note, the company increased its cash level by 75 per cent to £17.5M, up from £10M in the six months to June 2019.