Insulation industry news from Global Insulation

Canada: Rockwool North America has released its Safe’n’Sound stone wool insulation product in a new thickness of 15.24cm (6”). The new thickness offering is planned to help reduce installation time. The product is designed for fire insulation and sound dampening between floors.

UK: SIG’s group revenue fell by 37% year-on-year to Euro154m during March and April 2020 due to disruption caused by the coronavirus outbreak. In its annual report for 2019 the insulation producer said that trading had returned to pre Covid-19 levels in most of its companies as it adapted social distancing measures. It also reported cash reserves of around Euro150m following the sale of its Air Handling division.

In 2019 the group‘s statutory revenue fell by 13% year-on-year to Euro2.4bn in 2019 from Euro2.7bn in 2018. It made an operating loss of Euro97m. This was blamed on loss of market share in the UK and Germany. In response the company’s board says it taken ‘decisive’ action including appointing a new leadership team and developing a new customer-centric strategy that reprioritises sales.

UK: SIG has appointed Ian Ashton as permanent group financial officer with effect from July 2020. He succeeds Kath Kearney‐Croft, who assumed the role of Interim chief financial officer (CFO) in late February 2020.

Ashton joins SIG from Low & Bonar, where he has served as group financial officer. Prior to that, he was CFO of Labviva, a US‐based technology company. He worked for 20 years at Smith & Nephew until late 2017, undertaking various financial roles of increasing seniority in the UK, the US and Asia. His last role was CFO, Global Operations, and prior to that Ashton served as CFO of their Advanced Surgical Devices Division. He is a qualified chartered accountant and began his career at Ernst & Young.

The building materials supplier has announced the appointment of Simon King as a non‐executive director. Recently King served on the Travis Perkins executive board and held the position of chief operating officer of Wickes. Prior to that he held various operational roles at Walmart, Savola Group and Tesco.

UK: SIG and Kingspan have agreed to terminate the sale of SIG subsidiary Building Solutions (National) to Kingspan for Euro42.1m. The Competition and Markets Authority (CMA) had referred the deal for a Phase 2 Investigation on 21 April 2020. SIG said that it anticipated the investigation to conclude in October 2020. The deal will expire on 7 July 2020. Due to ‘prevailing market conditions,’ the parties terminated the agreement.

SIG said, “It has not been possible for the company and Kingspan to agree commercial terms for the extension of the agreement.”

US: Knauf Insulation North America has partnered with BIMsmith to provide 3D models of its leading insulation products for building product research and selection by architects. The models contain ‘key properties and data’ and integrate with Autodesk Revit building modelling software.

Knauf Insulation North America marketing vice president Linda McGovern said, “BIM is at the forefront of intelligent, sustainable building design. Our investment in BIM paves the way for Knauf to further our impact on the sustainable, energy-efficient construction of the future.”

Germany: Declare has certified Knauf Insulation’s Supafil blowing wool insulation ‘Red List Free’. The declaration signifies that Supafil contains no Red-Listed chemicals designated as harmful to health by the International Living Future Institute. Knauf Insulation Blowing Wool business development & residential market manager Thomas Baguette said, “Our Declare label underlines the natural credentials of our blowing wool. Supafil is composed of 99% glass mineral wool and less than 1% of antidust and antistatic.”

US: Johns Manville says that it has begun production of a new specially-developed coated polyester spunbond nonwoven fabric for use in Level 3 medical gowns for healthcare professionals fighting the coronavirus outbreak. It is producing the material, called Evalith, at its Spartanburg special applications building materials plant in South Carolina.

Johns Mansville engineered products president John Vasuta said, “Given the urgent need for action, we quickly decided to build on our own capabilities and develop a coated product to supply the domestic medical gown manufacturing industry. The fabric offers superior liquid barrier performance compared to materials used for Level 1 and Level 2 medical gowns, while also providing comfort and stitch-strength.”

France: Switzerland-based Sika has entered production of facemasks at its Dexel building materials plant in Les Salles du Gardon, Gard department. Sika says that the plant produces 15,000 masks/day ‘almost entirely from Sika products.’ It will distribute the masks around customers and employees and has received an order for 165,000 masks.

Sika Europe, Middle East and Africa regional manager Ivo Schädler said, “We find ourselves in an exceptional situation that confronts us with new challenges on an almost daily basis, especially in those countries worst hit by coronavirus. Our top priority is to protect our employees, their families, and our customers – which also includes finding unconventional ways of helping them.”

Denmark: Rockwool’s insulation sales declined by 0.6% year-on-year to Euro483m in the first quarter of 2020 from Euro486m due to slowdowns in Asia, in technical insulation sales and in its sandwich panel business. Despite this its earnings before interest and taxation (EBIT) rose slightly to Euro56m. Overall the group’s net sales and EBIT rose slightly to Euro649m and Euro80m respectively.

“Despite turbulence from the COVID-19 pandemic whose impact we began to feel late in the quarter, we achieved solid first quarter results. Climate change isn’t going away, however. Energy renovation is a high-impact economic recovery measure that creates local jobs, a more resilient and healthy society while at the same time contributing to reaching long-term global climate ambitions,” said chief executive (CEO) officer Jens Birgersson.

The group reported that, due to coronavirus, its sales were affected in Asia and started to decrease during the last weeks of March 2020 in southern Europe. In China, production lines were temporarily closed early in the quarter and re-opened four weeks later. Factories in Malaysia, India, France and Spain were closed at different times in March 2020. It said that all these factories had now partly resumed production. The company is planning to adjust operations based on reduced demand and a decline in construction spending in future quarters. It also intends to seek, “market opportunities resulting from political and fiscal responses to drive economic recovery.”

Ireland: Kingspan Group’s sales fell by 3% year-on-year to Euro1.03bn in the first quarter of 2020. It said that the coronavirus-related lockdowns did not ‘significantly’ impact activity for most of the reporting period although the, “landscape changed markedly from the middle of March onward.” The UK and Germany reported improvements, the Americas did well and both Australasia and the Middle East saw rising orders. Insulation board sales were strongly impacted by falling prices. Looking forward the group said that its global sales fell by nearly 35% year-on-year as various construction markets were closed down.