Kingspan sees 9% hike in operating profits

KINGSPAN has reported its first increase in operating profit for three years, as part of a set of interim results which comfortably outshone market expectations.

For the six months to the end of June, the Co Cavan-headquartered building materials/insulation product specialist reported a 9% year-on-year increase in operating profit to €33.1 million – the first time this results metric has seen any growth since the first half of 2007. Group revenue, for the period, was up by 1.1% at €558.7m; pre-tax profit inched up from €24.9m to €25.5m and EBITDA (earnings before interest, tax, depreciation and amortisation) rose by 4.5% to €53m.

Initial expectations from market analysts – and Kingspan, itself, judging from its last trading update – were for a year-on-year fall of about 10% in first half operating profit. Also anticipated was a static showing for the group’s net debt figure, which was reduced from €300m to €164.3m last year.