olivLaw · European equity research
Severfield plc SFR.L
United Kingdom · London Stock Exchange · ISIN GB00B27YGJ97 · Vertical: Listed companies from United Kingdom
Severfield plc is a British structural steel design, fabrication and construction group operating in the UK, Europe and India through its JSSL joint venture. The company is working through a difficult domestic market, but its order book and exposure to data centres and infrastructure could support a recovery if conditions stabilise, with an order book of '£507m' at June 2026.
At the close of 05 Nov 2026, Severfield plc (SFR.L) stock was 0.39 GBP (−2.53% on the day), with market capitalisation 114.0 m GBP, dividend yield 597.40%, beta 0.31, 52-week range 0.23–0.40 GBP.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 51.5
- neutral
- Bollinger (20, 2)
- 0.36 – 0.40
- in the upper half of the band · %B 0.65 · band width 10.3%
- SMA 50 / 200
- 0.38 / 0.32
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.00 / 0.00
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | +1.3% | −0.6% | +2.0 pp | — |
| 3 months | +2.8% | −4.2% | +7.0 pp | — |
| 6 months | +48.4% | +4.3% | +44.0 pp | — |
| Year to date | +33.2% | +7.5% | +25.7 pp | — |
| 1 year | +31.8% | +9.9% | +21.9 pp | +5.8% |
| 3 years | −38.9% | +49.8% | −88.7 pp | +26.3% |
| 5 years | −46.2% | +42.8% | −89.1 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2024 | 2025 | 2026 |
|---|---|---|---|
| Revenue | 463.5 m | 450.9 m | 454.3 m |
| Revenue YoY | unavailable | −2.7% | +0.7% |
| Net income | 15.9 m | -14.1 m | -35.6 m |
| Net income YoY | unavailable | −188.6% | unavailable |
| Diluted EPS | 0.05 | -0.05 | -0.12 |
| Diluted EPS YoY | unavailable | −190.8% | unavailable |
| net % | 3.4% | -3.1% | -7.8% |
| Free cash flow | unavailable | unavailable | unavailable |
Balance sheet & financial health
Fiscal year 2026 · 28 Mar 2026
- Cash
- 24.4 m GBP
- Financial debt
- 52.6 m GBP
- Net debt
- 28.2 m GBP
- Equity
- 146.6 m GBP
- Total assets
- 363.2 m GBP
- Debt / equity
- 0.36x
- Current ratio
- 1.05x
- ROE
- -21.6%
- ROA
- -9.3%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (GBP)
Margins
Income statement · GBP
| Line | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|
| Revenue | 463.5 m | 450.9 m | 454.3 m | esef· 02 Sept 2026verified |
| Operating income | 26.4 m | -13.7 m | -35.1 m | esef· 02 Sept 2026verified |
| Pre-tax income | 23.0 m | -17.5 m | -39.9 m | esef· 02 Sept 2026verified |
| Income tax | 7.1 m | -3.4 m | -4.3 m | esef· 02 Sept 2026verified |
| Net income | 15.9 m | -14.1 m | -35.6 m | esef· 02 Sept 2026verified |
| Diluted EPS | 0.05 | -0.05 | -0.12 | esef· 02 Sept 2026verified |
| Dividend per share | 1.40 | 2.30 | 2.30 | esef· 02 Sept 2026verified |
Balance sheet · GBP
| Line | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|
| Cash | 13.8 m | 15.5 m | 24.4 m | esef· 02 Sept 2026verified |
| Inventories | 11.6 m | 11.8 m | 7.4 m | esef· 02 Sept 2026verified |
| Current assets | 119.1 m | 146.6 m | 144.5 m | esef· 02 Sept 2026verified |
| Property, plant & equipment, net | 96.4 m | 96.7 m | 88.7 m | esef· 02 Sept 2026verified |
| Goodwill | 98.5 m | 97.6 m | 86.8 m | esef· 02 Sept 2026verified |
| Intangibles (excl. goodwill) | 5.5 m | 2.8 m | 136.0 k | esef· 02 Sept 2026verified |
| Total assets | 378.4 m | 400.9 m | 363.2 m | esef· 02 Sept 2026verified |
| Short-term debt | 6.2 m | 6.2 m | 3.8 m | esef· 02 Sept 2026verified |
| Long-term debt | 13.8 m | 52.6 m | 48.8 m | esef· 02 Sept 2026verified |
| Current liabilities | 103.3 m | 122.9 m | 137.8 m | esef· 02 Sept 2026verified |
| Total liabilities | 157.7 m | 217.9 m | 216.5 m | esef· 02 Sept 2026verified |
| Equity | 220.8 m | 183.0 m | 146.6 m | esef· 02 Sept 2026verified |
| Shares outstanding at year end | 307.0 m | 302.3 m | 296.0 m | esef· 02 Sept 2026derived |
Cash flow · GBP
| Line | 2024 | 2025 | 2026 | Source (latest year) |
|---|---|---|---|---|
| Operating cash flow | 45.1 m | -522.0 k | 22.9 m | esef· 02 Sept 2026verified |
| Investing cash flow | -37.4 m | -7.0 m | 954.0 k | esef· 02 Sept 2026verified |
| Financing cash flow | -8.6 m | 12.7 m | -15.2 m | esef· 02 Sept 2026verified |
| Dividends paid | 10.7 m | 11.2 m | 0 | esef· 02 Sept 2026verified |
| Share repurchases | 3.1 m | 8.6 m | 0 | esef· 02 Sept 2026verified |
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 4 of at least 6
- score weight coverage: 27.1% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 114.0 m GBP
Key indicators
Coverage and freshness
Score by group
27% · Insufficient data
Estimated value range
unavailable — no valuation assumptions for the reporting currency
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
Assumptions (illustrative, editorial)
- Risk-free rate
- 6.5%
- Equity risk premium
- 6.0%
- Beta (default)
- 1.00
- Cost of equity
- 12.5%
- Terminal growth
- 3.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | -14.7% | 13 (vs peers) | 38% |
| Net margin · Quality | -7.8% | 23 (vs peers) | 23% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.0x | 21 (on a fixed band) | 15% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | 0.0% | 0 (on a fixed band) | 23% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial21/100 · 1/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality16/100 · 2/3 factors with a value
- Returns· partial0/100 · 1/2 factors with a value
- Valuation· partialunavailable · 0/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
SEVERFIELD PLC (SFR.L). Latest full fiscal year: 2026; data up to 2026-03-28.
Figures computed from the financial statements: revenue 454.3 m GBP in 2026; YoY growth 0.7%; net margin -7.8%; ROE -21.6%.
The estimated value range is 22.56–27.87 GBP per share (median of 1 methods, agreement: single method); assumptions are illustrative. Against the central value of 24.94 GBP, the price of 0.39 GBP leaves a potential of 6,377.1% (value / price − 1) and a margin of safety of 98.5% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- The price is below the estimated value range
What contradicts it
- ROIC: -14.7%
- Net margin: -7.8%
- Current ratio: 1.0x
- Shareholder yield (distributions): 0.0%
Not assessed (insufficient data or a ratio without meaning): FCF conversion, Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, P/E (TTM), EV/EBITDA, FCF yield, Payout ratio (FCF).
Versus the vertical median
Listed companies from United Kingdom · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| BATS.LBritish American Tobacco P.L.C. | 104.3 bn | 13.5 | 16.5% | 30.3% | −1.0% | +7% / +88% |
| ABF.LAssociated British Foods PLC | 14.7 bn | 14.3 | 9.2% | 5.3% | −3.1% | −5% / −15% |
| 0EV1.LCarnival PLC | 5.5 bn | 4.1 | 46.7% | 13.4% | +6.4% | unavailable / unavailable |
| BAB.LBabcock International Group PLC | 5.1 bn | 24.7 | 34.7% | 4.1% | +7.2% | −10% / +158% |
| AUTO.LAutotrader Group PLC | 4.8 bn | 16.4 | 60.2% | 47.1% | +3.9% | −13% / −23% |
| BBY.LBalfour Beatty PLC | 4.2 bn | 16.3 | 23.2% | 2.8% | +15.2% | +20% / +160% |
| ABDN.LAberdeen Group PLC | 4.1 bn | 10.8 | 8.0% | 28.9% | −2.1% | +11% / +41% |
| BKG.LThe Berkeley Group Holdings PLC | 3.6 bn | 11.3 | 8.8% | 13.4% | −4.2% | −0% / −22% |
| BME.LB&M European Value Retail PLC | 2.9 bn | 17.4 | 21.2% | 2.8% | +3.7% | +68% / −51% |
| AJB.LAj Bell PLC | 2.4 bn | 22.8 | 49.9% | 33.1% | +18.0% | +8% / +128% |
| ASHM.LAshmore Group PLC | 1.4 bn | 13.9 | 13.1% | 71.6% | −0.1% | +28% / +18% |
| BCG.LBaltic Classifieds Group PLC | 1.2 bn | 23.2 | 15.8% | 57.6% | +6.9% | −99% / −99% |
| APN.LApplied Nutrition PLC | 763.6 m | 36.2 | 41.2% | 19.7% | +24.2% | +71% / unavailable |
| BAG.LA.G. Barr P.L.C. | 671.9 m | 14.4 | 14.4% | 10.8% | +4.0% | −7% / +26% |
| ASC.LAsos PLC | 494.5 m | — | -81.3% | -12.0% | −14.7% | +71% / +8% |
| ALFA.LAlfa Financial Software Holdings PLC | 486.8 m | 16.3 | 61.5% | 23.8% | +15.3% | −28% / +10% |
| AML.LAston Martin Lagonda Global Holdings PLC | 344.3 m | — | -93.4% | -39.2% | −20.6% | −45% / −85% |
| SFR.LSeverfield PLC | 114.0 m | — | -21.6% | -7.8% | +0.7% | +30% / −36% |
| APTD.LAptitude Software Group PLC | 111.3 m | 28.5 | 7.2% | 6.2% | −7.3% | −30% / −23% |
| AMGO.LAmigo Holdings PLC | 9.9 m | — | — | — | −81.9% | +325% / +844% |
| ASBE.LAssociated British Engineering PLC | 605.3 k | — | -19.1% | — | unavailable | unavailable / unavailable |
| AMIF.LAmicorp Fs (uk) PLC | 221.6 k | 0.1 | 27.5% | 9.1% | +8.1% | unavailable / unavailable |
| AAF.LAirtel Africa PLC | — | — | 24.1% | 10.6% | +29.5% | −7% / +164% |
| AAL.LAnglo American PLC | — | — | -19.3% | -20.2% | +4.5% | +30% / +76% |
| ACG.LAcg Metals Limited | — | — | -80.3% | -32.0% | +134.8% | +60% / +63% |
1- and 3-year price returns: for SFR.L from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (GBP)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Severfield plc is a British structural steel design, fabrication and construction group operating in the UK, Europe and India through its JSSL joint venture. The company is working through a difficult domestic market, but its order book and exposure to data centres and infrastructure could support a recovery if conditions stabilise, with an order book of '£507m' at June 2026 1.
SWOT
Strengths
- Leading position in structural steel in the UK, with technical capability and a reputation for quality and on-time delivery supported by long-standing client relationships.
- A diversified order book across sectors, clients and geographies provides earnings visibility through 2027 and beyond.
- The Indian JV with JSW Steel reported a record year, providing a growth base outside the British market.
Weaknesses
- Production volume fell in 2026, reflecting weak industrial and distribution markets and delays on major projects.
- Regular shareholder distributions have not yet resumed, and financial flexibility still depends on the success of the new operating model.
- Reliance on a small number of large projects can make revenue sensitive to delays or cancellations, although the company is working to reduce this dependence.
Opportunities
- Demand from data centres, energy, nuclear and transport infrastructure could grow the order book, particularly in Europe.
- Expansion in continental Europe and Ireland, where the share of orders has risen, could diversify geographic revenue.
- The new Gujarat site could expand in-house capacity in India if demand in the construction sector keeps growing.
Threats
- Clients are deferring investment because of macroeconomic uncertainty and geopolitical tensions, which may extend award timescales.
- Competitive pricing pressure could compress margins, especially in standard industrial and distribution projects.
- Steel prices and carbon-related costs could rise if regulation tightens, affecting projects without price adjustment clauses.
Risks
- Delays in project awardshigh
Clients are deferring investment decisions, and this could slow the conversion of tenders into live projects, affecting production volumes.
- Dependence on cyclical sectorsmedium
Industrial and distribution work has been weak, and if these sectors do not recover, revenue could remain under pressure.
- Margin pressuremedium
Pricing competition and high construction costs could reduce margins, particularly if large projects are executed slowly.
- Indian JV risksmedium
JSSL's performance depends on large-project execution and Indian demand; a slowdown could affect consolidated group results.
- Climate and regulatory riskslow
Changes in emissions rules and carbon offset costs could raise expenses, and extreme weather could disrupt sites.
Investment thesis
What would need to be true (bull case)
- The order book has grown, and sectors with structural demand such as data centres, energy and infrastructure could support a recovery if investment resumes.
- The Indian JV reported a record year, and the new Gujarat capacity could open significant growth in an expanding market.
- A more flexible, less capital-intensive operating model could improve returns and reduce reliance on individual projects.
What would break the thesis
- Production volumes in the UK and Europe fell in 2026, and clients remain cautious, which could delay a recovery in revenue.
- Competitive pricing pressure and long award timescales could limit margins even if the order book keeps growing.
- If industrial and distribution sectors do not recover, the company could remain reliant on segments with uncertain growth.
What to watch
- Development of the order book and conversion of tenders into live projectsQ1 2027
- Production volumes and the pace of recovery in industrial and distribution markets2027
- JSSL contribution and commissioning of the new Gujarat site2027
- Progress of the new operating model and strategic partnershipsnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Severfield designs, fabricates and builds structural steel for clients in infrastructure, energy, transport, industrial and commercial construction. The group operates as an integrated business covering engineering, design, manufacturing, project management and delivery, and in recent years has aimed to become more flexible and less capital-intensive through partnerships and subcontracting 1. In India, the company holds 50% of JSW Severfield Structures Limited alongside JSW Steel, with a Bellary facility of 'c.114,000 tonnes' capacity 1. Production in the UK and Europe fell to approximately '80,000 tonnes' in 2026 from 'c.95,000 tonnes' in 2025 1.
The geographic structure is twofold: UK and European operations with plants in Britain and the Netherlands, and the Indian JV, which reported a record year in 2026 for output, profitability and order intake 1. The company presents itself as the leading structural steelwork business in the UK, with technical advantages in complex projects and long-standing client relationships 1.
The current strategy emphasises higher-value sectors, disciplined capital allocation and selective expansion in Europe. A refinancing extends facilities to June 2029 and adds a '£30m' accordion facility, which the company says improves financial flexibility 1.
Segments
Nuclear and Infrastructure
The Nuclear and Infrastructure division serves the nuclear, road and rail transport, process industries and power and energy sectors. Transport infrastructure orders rose to 28% of the book at June 2026 from 23% at 1 November 2025, and work at Old Oak Common, part of the HS2 programme, is cited as a significant milestone 1.
Commercial and Industrial
The commercial and industrial segment covers offices, data centres, distribution and industry. Data centres and other projects rose to 24% of the book at June 2026 from 13% at 1 November 2025, while distribution and industrial fell, reflecting weak demand in those sectors 1.
India (JSSL)
The 50:50 JSSL joint venture with JSW Steel reported record output and profitability in FY26. The company announced a new Gujarat site, with phase one capacity of 'c.164,000 tonnes', which could significantly expand in-house capacity 1.
Market context
The UK and European market remained difficult through 2026, with subdued activity, deferred investment and extended project award timescales. The Middle East conflict and geopolitical uncertainty added caution, particularly in distribution and logistics 1. Even so, the order book grew to '£507m', and the company says tendering activity increased in the second half of the year, notably in data centres, energy and offices 1.
Longer term, demand for structural steel appears supported by infrastructure investment, the energy transition and sustainable construction, though pricing and timing remain under competitive pressure. The company estimates the UK data centre opportunity at about '80 kt' and transport at '100 kt' 1.
Trends
- Data centre boomtailwind
Demand for data centres across the UK and Europe is growing rapidly on the back of AI and cloud computing. The company has already secured significant projects in this sector, which could support revenue growth if investment continues.
- Infrastructure and energy investmenttailwind
Transport infrastructure, grid upgrades, nuclear and renewables programmes support demand for structural steel. Nuclear work and the Sellafield PPP framework are cited as sources of long-term activity.
- Weakness in industry and distributionheadwind
Deferred investment, higher financing costs and lower business confidence have reduced activity in industrial and distribution work, contributing to lower production volumes in 2026.
- Cost and pricing pressuremixed
Clients remain cautious and pricing and award timescales remain under pressure, which could limit margins, although stabilising inflation and interest rates could improve confidence.
Competitive position
The structural steel market in the UK and Europe is competitive, with pressure on pricing, and the company's advantage rests on technical capability, fabrication scale and client relationships. Barriers to entry are higher in larger-value projects, which could protect margins if the sector strategy works 1.
In India, JSSL competes in a growing market, but the source does not identify specific competitors. The company points to strategic partnerships and subcontracting as ways to stay competitive in a more flexible model 1.
- Regional structural steel contractors
The annual report does not name specific competitors; competition is described generically through pricing pressure and award timescales.
- Supply chain and subcontract partners
The company mentions strategic partnerships and subcontracting as part of its new operating model without naming specific entities.
- JSW Steel (JV shareholder)
A 50:50 partner in JSSL rather than a direct competitor; the source gives no US ticker.
- Other Indian structural fabricators
The source does not identify specific Indian competitors, and local competition is not detailed.
News & filings
In the press
No news in our archive over the last 180 days.
Annual reports (ESEF)
- Annual report 202602 Sept 2026
- Annual report 202521 Aug 2025
Sources
- [1] Annual report, fiscal year ended 2026-03-28 (ESEF) · SEC / Severfield plc · 28 Mar 2026
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.