The Hull headquartered contractor managed a near breakeven performance in the year to March with a pre-tax loss of just £23,000 compared to £166,000 in 2019 and a £9.8m loss in 2018.

Revenue also showed improvement rising by a fifth to £66m, making up some of the lost ground since Spencer’s landmark 2017 performance when it achieved record profitability of £5.6m from £112m sales.

Spencer founder and executive chairman Charlie Spencer said that 2020/21 had started with challenges but the outlook for work ahead was good, particularly in its rail business.

During this year the board negotiated a £4m term loan to improve working capital.

In latest published accounts, Spencer said: “While there has been a short-term, sharp disruption in activity in 2020 as a result of Covid-19, general market activity is expected to remain positive in all sectors with Government’s committed spending in transportation, particularly rail..providing significant future construction opportunities.”

The structural repair, refurbishment and maintenance of bridges was also looking forward to a strong future pipeline of work as Spencer capitalised on a reputation for providing innovative access solutions that provide a competitive advantage.

Spencer said the group’s Slipform Engineering subsidiary was also expected to enjoy strong growth going forward despite a £310,000 loss in the year to March 2020.

The specialist slipformer has made good progress with its new patented system that delivers significant programme and cost savings.

As well as major shaft work for Thames Tideway, the business is also working on high-rise building cores across the country, an area it has targetted for growth.