The firm said it now expected a recovery in performance towards the end of this year and into 2026 as clients like Amazon return to the warehouse market on the back of keener market pricing.

Announcing latest annual results this morning, group chief executive Mark Smith said the firm delivered a ‘robust performance’ across the group in 2024 despite mounting market pressures, particularly during the second half.

Revenue in the year-end December 2024 slipped back 15% to £113m, with pre-tax profit down 19% to £11m after the previous year’s record high.

For the year ahead, turnover is forecast to edge forward, but pre-tax profit is expected to fall to £7.25m, with the first-half performance impacted by fewer high-value contract starts and margin improvements weighted towards the second half of this year.

Smith said: “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.

“We are optimistic that the market will see some recovery later in 2025, although the timing and nature of any upturn in economic confidence is uncertain.”

He said the outlook for Billington’s Tubecon bridge-making division also looked bright with orders for complex projects expected in 2025/26.

Smith welcomed the government’s intervention at British Steel and called for a fresh strategy to level the playing field for the producer.

“We would like to see the Government use its influence to ensure Bristish Steel is used on major Government contracts and see a commitment to investment in an electric arc furnace ultimately at Scunthorpe,” he said. 

He added that the Government also needed to level the playing field with European exports for the producer and review carbon pricing.