UNBOUNCE - EXAMPLE PAGE-REPORT-ENTERPRISE DOCUMENT-KINGSPAN - Flipbook - Page 37
OPERATIONAL SUMMARY
g Unprecedented raw
material inflation
with strong price
recovery effort.
g Strong underlying
volume growth
of 13% and 11% in
Insulated Panels
and Insulation
respectively.
g Insulated Panels
sales increase
of 45% driven by
strong momentum
generally in
construction activity,
raw material led
price growth further
enhanced by strong
demand in high
growth sectors. Year
end order backlog
volume 28% ahead
of the same point in
2020. 66% growth
in sales value of
QuadCore™.
FINANCIAL HIGHLIGHTS
markets, with
g Insulation sales
the exception of
increase of 50%
Australasia.
reflecting strong
demand in key
markets and inflation g Data & Flooring
sales growth of
recovery on pricing.
21% reflecting
Strong development
strong data centre
activity during
activity and ongoing
the year including
development of
acquisition of Logstor,
the European
a leading global
operations.
supplier of technical
insulation solutions.
g Invested a total
of €714m in
g Light & Air sales
acquisitions,
growth of 24%
capex and financial
reflecting the
investments during
acquisition of Colt
the period.
Group in Q2 2020
and the acquisition
g Since period end,
of Skydôme in 2021.
approximately
Strong backlog
€800m committed
at year end.
on three transactions
subject to customary
g Water & Energy
approvals.
sales increase of
29% reflecting a
strong performance
across all key
Business Review
2021 was a year marked by
extraordinary volatility in supply
chains and wider society. Whilst
this dynamic created significant
challenges to our business, and indeed
our industry, underlying demand
remained strong through the year,
albeit somewhat weaker in quarter
four. Our key raw materials also saw
dramatic price inflation, and in all, in
the region of €700m of cost increases
were required to be passed through to
market. The result of all of this was a
record performance by the Group with
revenue growing by 42% to €6.5bn,
and trading profit growth of 49% to
€755m. Basic EPS grew by 48%.
Activity was strong across most of
our markets in both residential and
industrial construction, newbuild and
RMI. Order intake trends displayed
in the first half eased off over the
course of the second half. That
said, the Insulated Panels global
order backlog finished the year
ahead by 28% in volume. North
and South America, France and
Britain were particular stand-out
positives. The Group’s growing
presence in the tech, online
distribution and automotive
segments was instrumental in
delivering this performance.
The demand for significantly more
efficient materials and methods of
construction is clearly gaining much
needed momentum and, with the
prevailing energy cost and supply
threats around the world, it is likely
that the drive toward conservation
will be accelerated.
Kingspan Group plc Annual Report & Financial Statements 2021
42%
Revenue to €6.5bn
(pre-currency, up 42%)
49%
Trading profit4 up 49%
to €755m (pre-currency,
up 49%)
50bps
Group trading margin3
of 11.6% (2020: 11.1%),
an increase of 50bps
48%
Basic EPS up 48% to 305.6
cent (2020: 206.2 cent)
26.0c
Final dividend per share of
26.0 cent (2020: 20.6 cent)
0.88x
Year end net debt1 of
€756.1m (2020: €236.2m).
Net debt to EBITDA2 of 0.88x
(2020: 0.40x)
19.5%
ROCE of 19.5% (2020: 18.4%)
1 Net Debt pre-IFRS 16
2 Net debt to EBITDA is
pre-IFRS 16 per banking
covenants
3 Trading profit divided
by total revenue
4 Operating profit
before amortisation
of intangibles
Chief Executive’s Review
