Kingspan has reported pre-tax profits of €77.76m for the year to the end of December 2011 and the company said the trend of lower energy living worldwide will drive continued global growth in its insulation solutions.
The company had posted pre-tax profits of €55.67m in 2010. It said that trading profits last year rose by 33% to €95.7m from €72m.
The Co Cavan-based company's revenues grew by 30% last year to €1.55 billion when acquisitions are taken into account. The firm said it was recommending a final dividend per share of 6.5 cent. The total dividend for 2011 was up 10% to 11 cent, the company said.
Kingspan said that the lion's share of its activities was focused on the non-residential markets of mainland Europe, UK and the US, all of which were weak in the past year.
Its chief executive Gene Murtagh said the company's performance last year was helped by sales growth and stable margins. He said the international economic outlook remains uncertain, but that the group is expanding its presence in markets which are converting to high performance insulation and lower energy products.
On Ireland, Kingspan said that sales volume, although at exceptionally low levels, grew by about 13% last year. It said that its Irish performance can be expected to remain relatively stable for the foreseeable future.
Most of Kingspan divisions record growth
Breaking down its divisions, Kingspan said that its insulated panels division saw turnover rise by 19% to €758m with operating profits up by 41% to €50.5m.
The insulation boards division reported an 85% jump in turnover to €460.4m from €248.2m in 2010 while trading profits increased by 54% to €25.7m from €16.7m. However, sales volumes in Ireland fell by 19% during the year due to the continued weakness in the newbuild sector.
Turnover at Kingspan's environmental business rose by 18% to €202.3m while trading profits rose to €6.7m from €0.9m in 2010. It said that while volumes in the more traditional product lines were weaker, sales to Europe experienced a dramatic increase.
Kingspan said that turnover at its access floors division fell by 5% to €126.2 while trading profits slumped 31% to €12.8m due to the impact of the global weakness in newbuild commercial office space, especially in the US.
During the year Kingspan said it spent €130.3m on acquisitions, the key one being the deal to buy CRH Insulation Europe for €127.6m.
Looking ahead, the company said the wider economic environment can be expected to remain ''uninspiring'', and as a result, so too will the majority of construction markets globally.
However, it said there has been some recent evidence of improvement in some markets, including the non-residential sectors of the UK and US. But it added that building activity in the Benelux countries and Ireland has weakened in recent months.
''A world evidently moving towards lower energy living will drive continued global growth in penetration of Kingspan's high performance insulation and building fabric solutions,'' the company said in its results statement today.