Belfast Telegraph

Kingspan recovers after three-year slump

By Clare Weir

Co CAVAN based insulation firm Kingspan Group PLC has recorded an increase in operating profits for the first time in three years - up 8% at €67.4m (£57.2m).

Up to December 2010, the company made a slightly reduced pretax profit of €55.7m (£47,2m), with revenue slightly higher at €1.19bn (£1bn).

Kingspan has warned that all areas of the business are likely to "confront" industry-wide cost inflation in 2011 which "must be passed through to end markets".

The group added that the acquisition of CIE Insulation will strengthen its position across mainland Europe.

Sales of insulated panels, which account for 54% of group sales, fell slightly in the UK and by 8% in Ireland, while the relatively new US operation pushed sales ahead by 11%. Kingspan's chief executive Gene Murtagh said the company saw a high performance in its insulation business with a return to stability in its UK business and strong growth in north America. Growth in Australia was also very strong last year and is expected to remain so this year.

"The return of stability was a key theme in 2010 with Kingspan recording an increase in both sales and profits for the first time in three years," he said.

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