Article by Mark Smith – Herald Newspaper
Bone Steel, the Wishaw-headquartered structural metals supplier, yesterday said it had secured £8m-worth of contracts since the start of the year, bearing out the findings of recent surveys indicating improved health in the manufacturing sector.
Nonetheless, given the impact of the recession on the construction industry, the contract wins are a major boost for the Scottish-based firm.
Bone yesterday said it had been appointed by contractors Carillion, Mansell, Bourne Parking and Miller Construction to supply steel for the construction of six new schools in the south and north west of England, a waste recycling plant in Leicestershire, a multi-storey car park in London, and a commercial development in Edinburgh.
Chris Bone, chief executive of the company, said: “We have enjoyed an extremely encouraging start to the year and we are well positioned to secure further large-scale contracts from our key customers.
“Despite the difficult trading conditions which have affected everyone operating within the construction industry, there is still work out there to be won, and this is reflected in our current pipeline of bid work, which stands at more than £200m.”
He added: “Like all steel companies, we have endured a difficult 18 months, but we have demonstrated resilience and were able to adapt swiftly to the challenging market conditions.
“We did see a reduction in turnover in 2009, which is primarily due to the reduction in raw material costs – but we are continuing to drive efficiencies throughout the business.”
According to research by the CBI business group, a rise in exports – driven by the weakened pound – helped the beleaguered manufacturing sector to its first increase in output for two years in the fourth quarter of last year.
Official figures have also painted an improving picture in recent months.
In October, Bone Steel supplied and erected more than 2300 tonnes of steelwork for the new £32m regional sports centre at Ravenscraig.
It was a significant project for the company, which noted at the time that it had been given the opportunity to play a continued role in the regeneration of Ravenscraig, which was once the home of steel making in Scotland.
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