6th Nov 2023 09:51
(Alliance News) - Kingspan Group PLC on Monday said sales were down in the first nine months of the year, but said it is on track for profit growth in the full-year.
The Kingscourt, Ireland-based building materials supplier said sales in the first nine months of 2023 were EUR6.14 billion, "down a touch" on-year, and also down in the third quarter of 2023.
It said sales pre-currency and acquisitions were down 7% in the first nine months and in the third quarter.
Kingspan noted that it is on track to see a record full-year trading profit, which it says will be "comfortably" ahead of 2022's figure.
The company said sales in its insulated panels sector were down 9% in the third quarter and by 10% in the first nine months, in spite of sales volumes rising in the mid-single digits.
Meanwhile, its insulation business saw sales down 7% in the first nine months, and down 10% in the third quarter, again despite high-single digit growth in sales volume.
Kingspan also a saw a 2% sales decrease in its light, air & water sector in the first nine months, while sales fell 3% in the third quarter of 2023.
The firm's data & flooring segment saw sales rise 8% in the first nine months, and 3% in the third quarter, driven by strong data centre performance.
In its roofing and waterproofing business, Kingspan said it experienced a challenging trading environment during the year so far, but noted that its integration of newly acquired businesses is continuing to plan. In noted that sales are currently tracking above EUR500 million, adding that it pans to double sales within three years.
"There is still some way to go in 2023 with the seasonally important fourth quarter remaining and, accordingly, we expect to deliver a record full year trading profit in the region of EUR875m," the company said.
Kingspan shares fell 3.7% to EUR65.48 in Dublin on Monday morning.
By Harvey Dorset, Alliance News reporter
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