Building materials firm Kingspan enjoys "strongest ever" six months

After first-half trading profits soar 50%...

Building materials firm Kingspan enjoys "strongest ever" six months

Image: RollingNews.ie

Kingspan, the Cavan-based insulation and building materials group, has reported a first-half trading profit surge of 50% to €167.3 million, marking its strongest ever six-month performance.

Revenue rose 19% to €1.47 billion on the same period last year, with acquisitions in Belgium and the US contributing 15% to sales growth.

Its trading margin climbed from 9% to 11.4%, while earnings before interest, tax, depreciation and amortisations (EBITDA) were up 43% to €196.8 million.

Irish sales, which now account for a small portion of its overall business, were up from €40.4m to just under €60m.

While this is still off boom levels, it was an increase of over 50%.

Chief executive Gene Murtagh told Newstalk Breakfast that the company has seen significant investment in the tech sector:

"So we've been working in partnership with companies like Facebook, like Microsoft in other parts of the world, and they're investing substantial amounts here.

"As, of course, will Apple be in the new data centre in Athenry. So we'd expect to be working with all of those businesses."

The UK is Kingspan's biggest market, and Murtagh said its business hasn't suffered in the wake of the Brexit vote:

"No impact so far except, naturally, sentiment has been affected. In terms of the tangibles... we've seen growth in our business of 7% in the six weeks immediately after the vote.

"So from a near-term perspective, actually there's been no wobble whatsoever. If you look at our medium-term pipeline, it's broadly standing on what it was on June 30th. So for certain there's been no major panic on the ground thus far."