Kingscourt, Ireland – Third quarter sales at insulation maker Kingspan were up 50% on 2020 and 44% in the first nine months at EUR4.72bn, the company said in a trading statement.
Insulated panel sales were up 47% in the first nine months. 'Raw material inflation has been extraordinary, with the associated recovery and the top line boosted further by buoyant volume growth overall in the year to date,' the company said. Its order backlog was up 49% compared with the same nine-month period in 2020.
Insulation board sales were up 78% in the third quarter and 51% year to date, but volumes were in line with the third quarter of 2020, with the top line reflecting mainly the higher costs of raw materials, the company said.
The order backlog is falling week by week as demand is slowing, it said, but 2021 was unusual because orders were placed earlier in the year as customers tried to buy before price rises hit, and to secure supplies.
'There is no sign yet of any meaningful raw materials deflation, although should that come, the impact would be negative,’ the company said. ‘We are acutely conscious of that.'