Steelwork contractor Severfield has announced a healthy revenue return however warned several major projects are to be delayed over funding and material concerns.

CEO Ian Lawson said there was good growth in revenue, profits and cash generation, but revealed the results could have been better if not for the project delays.

"The order book comprises a good balance of small and medium-sized projects, and could have been even greater had some of our larger prospects not been subject to material delays in mandates being awarded," he said.

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"A number of larger projects the group has bid for in the last six months, including three strong prospects worth collectively more than £100m, have been subject to material delays or in one case cancellation, as the availability of funding and cost concerns have affected such projects before they convert to orders."

However, despite the issues, Severfields revenue is up 20% to £117.1m, from £97.4m in 2014.

In addition, underlying profit before tax increased to £4.8m in 2015 from £3m in 2014.

Mr Lawson added it was "another six months of good progress" with underlying operating margins up from 3.7% last year to 4.3%.

In addition, the group completed a 50% acquisition of Composite Metal Flooring for £4m on 16 November.

A further £2.5m is payable over the next five years.

Mr Lawson said: "We remain very active in our chosen sub-sectors of focus, specifically construction and infrastructure and our order book remains solid at £185m and the pipeline healthy."

(LM/CD)