Insulation and building materials manufacturer Kingspan said its sales in the nine-month period to the end of September rose by 3% to €6.35 billion on the same time last year and by 6% in the third quarter.
In a trading update, the Co-Cavan based company said that sales pre-currency and acquisitions were down 4% in the year to date and were in line with the third quarter of 2023.
Kingspan said it was "difficult" to look too far ahead when there are so many moving parts both economically and geopolitically.
"Whilst end markets have their obvious challenges the global backlog of orders is ahead year on year. In some markets we are seeing subdued near-term dispatches despite strong backlogs which should augur well for the early part of 2025, albeit at the expense of 2024," it said.
"Whilst there is still some way to go in the current year, with the seasonally important fourth quarter remaining, we expect to deliver a full year trading profit broadly in line with the record level achieved in 2023," it said.
"Notably, the group's development pipeline remains strong," it added.
Breaking down its divisions, Kingspan said that sales at its Insulated Panels unit improved sequentially in the third quarter, rising by 1%, but were down by 2% in the first nine months of 2024.
It noted that third quarter sales volumes were ahead globally, building on the positive trend seen in the first half. Activity in the Americas remained in line overall against a strong comparative, France was holding up well and Germany was showing growth more recently compared to a soft third quarter last year.
But it said that Eastern Europe was challenging overall while the Middle East saw strong activity in quarter three. Australasia and India have seen further momentum in recent months.
Sales in its Insulation division in the first nine months were up 18% and by 20% in the third quarter boosted by the acquisition of Steico. Sales pre-currency and acquisitions were down 10% both year to date and in the third quarter.
It noted that acoustic insulation continues to perform well, and its natural insulation category is advancing following the cornerstone acquisition of 51% of Steico early in 2024. District heating applications have been "softer" in more recent months, and this expected to continue for the rest of 2024.
Board sales were down in the third quarter, with activity and margin in continental Europe, a particular challenge, it added.
Data Solutions sales in the first nine months were up 29% and up by 47% in the third quarter. Kingspan said its solutions and geographic presence mirror the requirements of the major global organisations driving the world's ever increasing appetite for data.
Meanwhile, Light, Air + Water sales in the first nine months were down 2% and increased by 1% in the third quarter. Kingspan said it views daylighting and ventilation as a growing opportunity for it worldwide and they are becoming a crucial part of the low-energy building envelope.
And Roofing + Waterproofing sales in the first nine months were up 4% and were down 4% in the third quarter reflecting somewhat subdued European roofing activity in more recent months.
A number of development milestones have taken place recently with divisional sales now tracking €1 billion on an annualised basis following the acquisitions of a majority stake in Nordic Waterproofing Holding in Europe and IB Roofing in the US.
Kingspan shares were lower in Dublin trade today.
