Kingspan 'confident' in face of Brexit as profits beats estimates
Published 22/08/2016 | 07:37
Insulation firm Kingspan has beaten analysts expectations after profits at the firm increased by 50pc to €167.3m during the first six months of the year.
Revenue at the company increased by 19pc to €1.47bn in the period with earnings per share soaring by 19pc to 70.6c.
Acquisitions contributed strongly to Kingspan's intake. The company said new businesses contributed 15pc to sales growth and 7pc to trading profit growth.
The group's profitability improved too, up 240 basis points to 11.4pc.
Kingspan moved some way to reducing its net debt too. Net debt at the firm dropped to €348.1m from €449.3m.
Chief executive Gene Murtagh said the results reflect the company's strongest-ever six-month performance.
"The expansion in profit margin has helped deliver a 50pc increase in trading profit, and with good order intake momentum in the second quarter continuing into the current trading period, we expect a solid performance in the second half.
"We continue to acquire complementary businesses, with a total of €83m invested in two businesses in the first half and €126m paid for two further businesses after the period end," Mr Murtagh said.
Kingspan said order intake during the second quarter of the year was "exceptionally strong". The company also iterated its confidence in its future despite current exchange rates and rising raw materials costs facing the firm in the near term.