Kingscourt, Ireland — Sales at insulated panel company Kingspan were up 24% in the first nine months of 2018, according to a trading statement released to the London Stock Exchange.
The company said sales in the first three quarters of the year were EUR 3.18bn, up 18% after currency effects had been accounted for.
Insulated panel sales were helped by the Balex and Synthesia purchases, which are 'performing according to plan', the company said. This division's sales were 4% up on the year to date and 5% up on the third quarter of 2017. Solid performance across most mainland Europe markets, and growing momentum in the UK's larger project sectors drove performance.
However, the markets in both small- and medium-sized projects are subdued, in the UK. Orders and sales are strong in the Americas.
Meanwhile, the insulated board market has performed strongly for Kingspan in the first nine months of the year. Sales are up 13% in the first nine months of 2018.
Third quarter numbers are up 10% on the equivalent 2107 period.
Prices are softening as raw material input prices fall, the company added. The UK is a dynamic pricing environment, and the market has softened along with the slowing construction sector. In mainland Europe, the company said that sales have been 'subdued as we prioritise margin over volume'. It added that the Nordic region is performing well.
Southern Europe is performing well, and North America is a little better than the first nine months of 2017.
Looking ahead to the rest of the year, Kingspan said it expects to deliver a trading profit of EUR 440m, up 15% on 2017. This forecast assumes that exchange rates are fairly stable over the remainder of the year and markets. Orders are strong, but the global market is nervous, the company warned.