Building materials group Kingspan says a "prolonged winter season" has contributed to a "sluggish start to the year".
In a trading update ahead of its AGM today, the company said, however, that group sales for the first three months of the year were 8% higher year-on-year at €895m.
The UK market was tough in Q1 for Kingspan, although its insulated panels business "improved somewhat in recent weeks".
Meanwhile, the company said mainland Europe is "relatively stable" and business in the Americas is "generally positive", with Canada showing signs of recovery from last year.
Growth in Ireland has had a good start to the year, boosted by growth in the residential sector.
Kingspan’s net debt at the end of March was €698m, representing an increase of €234m from the position at last-year end, but this figure reflects the firm’s acquisition of Synthesia in March as well as seasonal investment in working capital.
The Group has €660m of committed undrawn facilities and cash balances.
Acquisition activity is expected to push the group’s trading margin percentage for the first half lower than the same period last year.
"Notwithstanding the present trading environment, the group remains well positioned for the year as a whole and for the longer term given the breadth of our product mix, our extended geography and the ongoing advancement of our high-performance technology," today's trading statement added.
Shares in the company moved higher in Dublin trade today.
