Severfield (SFR) Trading Update summary

Current trading and outlook

• Trading since the start of the financial year is in line with expectations, with a strong cash and balance sheet position maintained.

• Well-positioned to win work in markets with positive long-term growth trends, supporting strategic growth aspirations.

UK and Europe

• Order book at 1 July stands at £460m, with £369m for delivery in the next 12 months and 32% from continental Europe and Ireland.

• Order book remains diversified across key sectors, reflecting a strengthened market position in Europe.

• Market conditions are improving, though pricing remains competitive in shorter cycle sectors like distribution.

• Strong demand for data centres in the UK and EU, driven by cloud computing, 5G, and AI advancements.

• Opportunities identified in green energy, infrastructure, and major projects such as battery plants and offshore wind.

India

• Indian order book at £181m as of 1 July, with 72% higher margin commercial work and a robust pipeline of potential orders.

• Expansion plans with joint venture partner JSW are being accelerated, with new factory capacity expected in H2.

• JSSL is well positioned to benefit from strong demand and a positive economic outlook in India and near markets.