Kingspan breaches EUR 4bn sales level for first time in 2018

Kingscourt, Ireland — Kingspan sales in 2018 were up 19% to EUR 4.4bn and trading profit grew by 18% to EUR 445m, according to a trading statement.

The company said: 'Activity generally improved as the year evolved, and with the notable exception of the politically hamstrung UK, most of our major markets ended the year strongly.

'The majority of Western Europe performed robustly; North America advanced well, as did Latin America. Conversely, the UK eased back considerably towards the year-end.'

Looking ahead, CEO Gene Murtagh said: 'With the order book ahead of last year, we are confident in our near-term outlook. We remain mindful of challenges to growth, particularly in the UK. However, our expanded footprint in Latin America, Southern Europe and India means we are well positioned continue to deliver.'

Kingspan spent EUR 720m buying Synthesia in Spain, which includes Poliurtanos; Poland's Balex Metal; and a stake in its Jindal joint venture in India. The last deal opens the door to a take over in the future, Kingspan added.

Highlights of 2018 performance included 21% growth in sales for insulated panels. This business sector experienced  strong activity in the Americas, a positive performance in Continental Europe, and a solid UK return against a difficult backdrop. It had sales of EUR 2.8bn, up from EUR 2.3bn in 2017.

The company’s insulation board business unit experienced the 'ongoing advancement' of Kooltherm phenolic boards in 2018. This follows a structural shift to phenolic boards in 2017. However, lower diisocyanate prices in the second half are helping PIR to regain market share from traditional materials.

Sales in this division were up 12% at EUR 864m in 2018. In 2017, the division's sales were  EUR 769m.