BRITAIN'S biggest structural steel firm admitted it has seen the most challenging months in its history as it reported rising losses.

Severfield-Rowen of Dalton, near Thirsk in North Yorkshire, reported a 15-month pretax loss of £23.1m, from a profit of £5.8m in the preceding 12 months. Revenue was £318.3m, from £267.8m. 

The company based in Dalton, near Thirsk, has been hit by losses on some of its major contracts, including work to build London's Shard and 122 Leadenhall Street, which is known as The Cheesegrater. 

The results were for 15 months as Severfield has changed its year-end to March. 

Tom Haughey stepped down as chief executive in January 2013 and chairman John Dodds has assumed the role until a new chief executive is appointed.

Severfield also announced today that Ian Cochrane has been appointed chief operating officer and will join the board as an executive director. He will be replacing Peter Emerson who is to retire. 

Severfield, which employs about 600 workers in the North, gained an international reputation after it helped to build the Shard, Europe's tallest building, as well as the main Olympic stadium, velodrome and Arcelor Mittal Orbit viewing platform for the London 2012 Games.

It also played a part in Arsenal FC's Emirates Stadium, Wimbledon's retractable Centre Court roof and Heathrow's Terminal Five and Terminal Two developments.

Mr Dodds was confident that things were set to improve. He said: "The 15 months ended 31 March 2013 have probably been the most challenging in the group’s history.

"Problems with the contract for 122 Leadenhall Street  were the most significant of several issues which adversely impacted the results for the period, and which were explained in detail with the 12 month interim results to  December 2012. 

"Management and organisational changes have already been made and further changes are in process.

"Meanwhile the group retains its core strengths, a strong market position and the continued support of
its major customers. This, together with the shareholder support for the refinancing completed on April 5, gives me confidence that the group will improve financial performance in the near term and
deliver returns commensurate with its strong market position in the longer term.”

The North Yorkshire business reported a "solid" order  book of £197m to the end of December 2012 and its Indian joint venture had orders worth £29m for the same period.