Kingspan bullish on 2007 prospects as acqusitions and organic growth boost 2006 profits

Kingspan has predicted that operating profit for 2006 will jump by a third. The materials supplier said second half growth had been strong due to strong underlying markets, favourable pricing and a string of acquisitions.

Much of the growth came from Kingspan's insulated panel division which was rolled out into Central and Eastern Europe.

Kingspan said there was organic growth across all its markets. In the insulation boards division Kingspan said there was 'low single digit growth' in the UK and Continental Europe and high growth in its home market Ireland. Offsite and structural divisions had performed well in both the UK and Ireland.

In the trading update the company said net debt at the end of the year ws expected to be £160m. Full year results will be posted on 5 March.

Management said they expected another year of progress in 2007.