Kingspan profits surge 13pc in third year of growth
Building supplies company Kingspan recorded a 13pc rise in trading profit for 2012, despite a slowdown in activity in the second half of last year due to weak construction markets in the euro zone.
The No.1 producer of insulation in Ireland, Britain, Canada and Australasia posted its third consecutive year of growth, it said this morning.
Kingspan had a strong performance in Germany and Central Europe in the first half of last year, but a decline in activity in construction markets in the Benelux and Netherlands took hold in the second half.
Other leaders in the sector expected a slide in their sales in the latter half of 2012 because of the deepening problems in the euro zone's building sector, already facing the collapse of housing markets in Spain and other crisis-hit states.
Kingspan's full-year trading profit of €107.7m in the 12 months to end-December was up from €95.7m the previous year.
Yearly revenue rose 5pc to €1.63bn while debt came in at €165.5m, shrinking from €170.1m a year earlier even though the company made two acquisitions during the course of the year.
The purchase of the insulated panels arm of ThyssenKrupp for €65m and Dubai-based Rigidal Industries boosted the company's global presence, though the benefit to earnings will not show until 2013.
Kingspan has weathered the downturn by taking advantage of a shift towards more energy-efficient building standards, particularly in its largest market, the UK.