Kingspan sales grow despite tough market

Insulation product and engineered timber systems manufacturer Kingpsan plc says its third-quarter sales were up 24% on a year ago.

Sales in the nine months to September 30 were €1.14bn, up 30% on 2020, with margins having gradually improved as earlier spikes in material cost price increases were recovered, combined with some easing of costs in the third quarter. It expects full-year operating profits of €82m-85m.

The strong sales growth has been largely driven by market penetration, refurbishment and geographic expansion rather than macro-economic growth.

Building activity in its markets globally has eased in recent months, with modest reductions in quotations and order intake levels in the third quarter.

Kingspan said if economic conditions remained stable its product range and orientation towards energy efficient building should support further progress. But it cited the threat of markets retreating in 2012.

Kingspan’s insulation board business includes the engineered timber systems division comprising the KingspanTEK structural insulated panels business (OSB sheathing/PU core), the Kingpsan Century timber frame business and Kingspan Potton.