Houston Texas -- Lapolla Industries Inc.'s foam sales increased by 14 percent to $43.1 million in 2009, compared to the previous year, a 31 March company statement said.
The increase in sales, Lapolla said, came as a result of energy conscious building owners and consumers seeking relief from volatile energy prices as spray polyurethane foam continues to gain market share from traditional insulation systems such as fibreglass.
Lapolla also said its AirTight training, start-up and rig- building operations for new and existing insulation companies further penetrated the foam market. Also, revenue growth from equipment increased with materials sales following. The foam segment reported a profit of $1.2 million, compared to a $127 000 loss in 2008, the statement said.
Sales increased 3.9 percent to $50 million in 2009, compared to 2008, with gross profit increasing by 36.8 percent to $12.4 million, "due to sales growth and favourable raw materials costs," Lapolla said.
"Even with the recession, we were successful in growing our foam segment market share as a direct result of increasing global awareness of the energy saving benefits of spray foam among cost conscious consumers, residential home builders, and commercial building owners," said Lapolla ceo, Douglas Kramer.
"Going forward, we anticipate unprecedented growth in 2010 as credit markets have continued to improve and the value proposition of spray foam, including the immediate cost savings upon installation, is increasingly recognised in the marketplace," Kramer said, adding that the company expects a marked revenue increase in all target markets in 2010, as well as an increase in spray foam market share due to government rebates and increased consumer awareness. (RD)