Insulation and building materials manufacturer Kingspan has reported a "good" first quarter despite what it called a sluggish start to the year due in the main to seasonal factors.
In a trading update for the three months to the end of March and ahead of its AGM tomorrow, Kingspan said group sales rose by 9% to €2.1 billion, while they were "modestly" ahead on an underlying basis.
The Co Cavan-based company said its European market overall recorded sales growth with reasonable activity in general.
Kingspan added that while sales in the US have been understandably slow, order intake has been very strong, with the US orderbook currently at record levels.
Meanwhile, Latin American sales were robust with the Middle East and India both started the year well.
Kingspan said its trading outlook remains in reasonable shape overall with sentiment varying significantly by region.
"We remain focussed on factors we can control in an environment where there is much background noise. With much of the second quarter remaining we expect to deliver overall trading profit growth in the first half," the company stated.
"Overall, Kingspan's unrivalled spectrum of products, our strong innovation and development pipelines, and Planet Passionate agenda all position the group favourably for years ahead," it added.
Breaking down its divisions, Kingspan said that sales at its Insulated Panels were up 4% with underlying sales broadly in line, while group order intake volumes year to date are up on the same time last year.
Its Insulation sales were 4% ahead in the first quarter with underlying sales broadly in line. Kingspan noted that Acoustic Insulation continues to grow strongly and Insulation Board activity was solid overall in the first quarter.
Sales at its Roofing + Waterproofing jumped by 55% in the first quarter bolstered significantly by the acquisition of Nordic Waterproofing.
Kingspan said the deal represented another development milestone for the division and opens up an unrivalled channel in the Nordic region.
Meanwhile, sales at its Light, Air + Water division were in line with the first quarter of last year and were down 4% underlying reflecting slower US activity.
Finally, Data Solutions sales were up 37% in the first quarter reflecting a continuation of the momentum seen last year.
Kingspan noted that the pipeline of global data centre opportunities is strong, and growing, as AI applications take centre stage.
Shares in the company ended lower in Dublin trade today.
