Insulation industry news from Global Insulation

New Zealand: Fletcher Building has reported that its net profit rose by 51% year-on-year to US$114m in the half year that ended on 31 December 2015 from US$75.6m in the same period in 2014. Its sales rose by 2.5% to US$2.94bn from US$2.87bn. It attributed this to growth in its building products and distribution businesses making up for weaker earnings from Formica and New Zealand housing developments.

Fletcher Building reported that gypsum wallboard volumes via its Building Products division rose by 9% in the half year. Volumes of performance board rose by 12%. Sales volumes of insulation rose by 12% in New Zealand and 9% in Australia. It noted that its market share has also improved in both insulation markets due to competitive pricing following the strengthening of the US Dollar.

UK: Celotex has launched a new range of flat roofing insulation solutions. It comprises three products: Celotex Crown-Bond, Crown-Up and Crown-Fix. The products were developed with contractors, installers and distributors, following an 18-month testing period.

“The new product range from Celotex perfectly demonstrates the commitment that British Rigid Urethane Foam Manufacturer’s Association (BRUFMA) members have to improving product quality and driving up standards for insulation in the UK,” said Mel Price, Assistant Chief Executive of BRUFMA.

BRUFMA represents most of the major companies in the Polyisocyanurate (PIR) and polyurethane (PUR) industry in the UK, including manufacturers of finished products, suppliers of the various raw materials and associated services.

US: Carlisle Construction Materials’ net sales rose by 4.4% year-on-year to US$484m in the fourth quarter of 2015. The building products manufacturer attributed the growth to demand for insulation application and commercial roofing and good weather. It also benefitted from lower raw material costs and improved business practices although this was partially offset by lower selling prices.

Overall, the Carlisle Companies subsidiary reported that its net sales rose by 3.5% year-on-year to US$2bn in 2015 from US$1.94bn in 2014. Its earnings before interest and income taxes rose by 30.6% to US$351m from US$269m.

US: Owens Cornings has reported that net sales for its insulation business rose by 6% year-on-year to US$1.85bn in 2015 from US$1.75bn in 2014. Its earnings before interest and taxation (EBIT) rose by 48% to US$160m from US$108m.

Overall, the roofing, insulation and composites manufacturer saw its net sales rise slightly to US$5.35bn in 2015 from US$5.26bn in 2014. Net earnings rose by 46% to US$334m from US$228m.

“Strong operational and commercial execution drove significant earnings growth in all three of our businesses, resulting in the best year of earnings growth in the history of our company,” said Chairman and Chief Executive Officer Mike Thaman.

For its insulation business, the company expects revenue growth and margin expansion to be weaker in 2016 than 2015. It noted that its prospects are dependent upon the progression of pricing and volume in the US residential new construction market.

UK: Superglass has appointed Jan Holmstrom to its board. Holmstrom, aged 63 and a Swedish national, will represent Superglass's majority shareholder Peter Gyllenhammar as non-executive director, according to the Herald. Gyllenhammar owns 38.3% of the shares in Superglass.