British Steel set to get back into profit, says firm which revived brand
A company which has revived the British Steel brand has announced it is on track to return the business to profit in this financial year.
The firm marked 100 days since the deal by announcing it had completed the first stage of its turnaround plan which includes efficiency and cost-cutting measures, 270 new employees and a £50 million capital investment.
The company was launched in June after former owner Tata Steel sold its steelworks in Scunthorpe, Lincolnshire, as well as sites in Teesside, Workington and York, to turnaround specialist Greybull Capital.
British Steel said that suppliers and customers have been keen to do business, including Caterpillar, Toyota, Network Rail, Cargill, William Hare, Apollo, Vesuvius and Elland Steel Structures.
British Steel's executive chairman Roland Junck said: "I am delighted to be able to announce that we have hit our performance targets and returned the business to profitability in our first 100 days as an independent company.
"These results are testament to the hard work of our employees and their determination to implement the turnaround plan.
"I believe we are now better placed to capitalise on our strong heritage, vastly experienced and skilled workforce and world-class products.
"The transformation of our business will make sure we maintain the pace of growth and move forward as an outward-looking profit-making business. But while our future remains firmly in our hands, the UK steel industry still faces many challenges.
"That is why we are pleased to remain in constructive dialogue with the Government about the strategy needed to support British Steel and ensure that it is operating on a level playing field."