Profits drop at structural steel business following ‘exceptional’ year

Profits and revenues have fallen at Barnsley-based structural steel business, Billington Holdings, amidst a tough market backdrop.

Publishing its results for the year ended 31 December 2024 today, the company reports revenues of £113.1m (2023: £132.5m) and pre-tax profits of £10.8m (2023: £13.4m).

The group says that a strong cash balance of £21.7m was maintained at year end (31 December 2023: £22.1m) adding that it remains debt free.

It explains that 2023 was an “exceptional” year for the group, so its 2024 performance should be viewed in this context.

Mark Smith, chief executive officer, said: “2024 was a strong performance by Billington, across all its business units, with benefits being seen from the group’s capital investment programme, and our specialist skills and innovative approach, against a very challenging market backdrop, particularly in the second half.

“The group has a strong level of contracts secured for delivery during 2025 and into 2026, combined with a significant pipeline of opportunities.

“However, the overall reduction in industry demand is leading to pricing pressure, particularly as competitors look to secure work to contribute to fixed overhead recovery, and the precise timing of certain projects remains uncertain. 

“Despite these challenges Billington remains extremely well positioned within its industry, with a strong balance sheet, strong product offerings and an ability to weather downturns in a way that many of its peers cannot.”

The group says it is optimistic that the market will experience some recovery later in 2025, although it warns the timing and nature of any upturn in economic confidence is “uncertain.”

Billington says it is very well positioned to take advantage of improved market conditions when they arise.