Insulation industry news from Global Insulation
Owens Corning publishes first quarter 2020 results
30 April 2020US: Owens Corning has recorded a first quarter loss of US$916m in 2020, compared to a US$44.0m profit in the corresponding period of 2019. Net sales were US$1.60bn, down by 4.0% from US$1.67bn. Insulation sales grew by 2.0% to US$603m (38% of net sales) from US$591m. The insulation section’s negative balance of earnings before interest, taxation, depreciation and amortisation (EBITDA) decreased by 71% to US$10.0m US$34.0m.
Owens Corning chairman and CEO Brian Chambers said, “I’m very proud of our team’s strong execution and ability to deliver our first-quarter results in the face of the Covid-19 pandemic. Our long-standing commitment to safety remains at the forefront of everything we do while serving the needs of our customers, our communities, and other key stakeholders.”
Recticel’s first quarter sales fall by 6.2% in 2020
29 April 2020Belgium: Recticel has recorded sales of Euro298m in the first quarter of 2020, down by 6.2% year-on-year from Euro318m in the corresponding period of 2019. Recticel said that sales in the first two months of 2020, “remained in line with the previous year despite the impact of the coronavirus crisis on sales and operations in China.” Sales in March 2020 fell by 17% month-on-month, “due to the outbreak and the resulting governmental lockdown measures in most countries.” Insulation sales fell by 2.9% to Euro60.7m Euro62.5m. Recticel said, “Lockdown measures led to a reduction of construction activities as of mid-March 2020. Our insulation plants continued (reduced) operations in all countries except in France where construction activity was halted since mid-March 2020.”
Saint-Gobain increases profit by 207% in 2019
28 February 2020France: Saint-Gobain’s net profit in 2019 was Euro1.45bn, up by 207% year-on-year from Euro474m in 2018. Its net sales were Euro42.6bn, up by 1.9% from Euro41.8bn in 2018. Saint-Gobain chairman CEO Pierre-André de Chalendar praised the year’s performance in spite of a ‘less supportive market environment in the second half.’ He said, “For 2020, in a more uncertain market environment, Saint-Gobain should continue to benefit from its attractive positioning and from the results of its ‘Transform & Grow’ initiative, and is targeting a further like-for-like increase in operating income with an uncertainty about the impact of the coronavirus.”
Rockwool boosts 2019 profit by 7.5% year-on-year
06 February 2020Denmark: Rockwool’s post-tax profit for 2019 was Euro285m, up by 7.5% from Euro265m in 2018. Sales rose by 3.2% to Euro2.8bn from Euro2.7bn. The company’s insulation section saw ‘mixed market conditions’ but ‘showed modest growth’ over the period, thanks in particular to state-supported energy efficiency improvement in construction practices generating increased demand in the South-West Europe region.
Rockwool said that it invested in long-term growth, having opened a plant in Romania in late-2019, with a capacity expansion to a German plant due to come online in mid-2020 and a further plant in the US to follow in early 2021. Rockwool Group chairman Henrik Brandt and CEO Jens Birgersson said, “For the fifth year in a row, our customer satisfaction scores increased.” Satisfaction rose by 14% year-on-year.
Huntsman acquires Icynene-Lapolla
07 January 2020US: Huntsman has acquired the spray polyurethane foam (SPF) insulation producer Icynene-Lapolla from an affiliate of FFL Partners for US$350m. Icynene-Lapolla operates production facilities in Houston, US, and Mississuaga, Canada and made sales in excess of US$200m in 2019. Huntsman chairman, president and CEO Peter Huntsman said, “This combination of companies will provide Huntsman with the largest global array of spray foam technology, integration of raw materials and associates, improving energy efficiency.”
Hirsch France buys sites and subsidiary from Saint-Gobain
05 November 2019France: Hirsch France, a partnership consisting of 66% Hirsch and 34% BewiSynbra, has purchased six Saint-Gobain expanded polystyrene (EPS) insulation plants and 49.9% of shares in Isossol from Saint-Gobain subsidiary Placoplâtre.
Saint Gobain’s nine-month sales fell by 4.1% year to Euro31.1bn to 30 September 2019 from Euro32.5bn. The group is targeting annual divestment equivalent to Euro3.0bn to cut losses.
North American sales of thermoplatic polyurethane rise
02 September 2019North America: Sales of thermoplatic polyurethane (TPU) has increased year-on-on year in the six months to 30 June 2019 by 4.0%. The proportion of domestically produced TPU exported fell by 38.3%.
Data from the American Chemistry Council and Vault Consulting indicate American demand responding well to TPU’s tensile strength and grease resitance, even as polyurethanes lose out to substitutes in the Asian and European insulation sectors.
Huntsman acquires Oxid for up to US$75m
15 September 2013US: Huntsman Corporation has announced that it has completed the acquisition of Oxid, a manufacturer and marketer of specialty urethane polyols in Houston, Texas, for an amount of up to US$75m. According to a press release, Oxid generated revenues of US$86m in 2012.
Oxid's polyols are a key component in the production of polyurethane-based insulation products. The polyols are combined with methylene diphenyl diisocyanate (MDI) in which Huntsman's Polyurethanes division is a producer to create polyurethane foam insulation. Oxid markets its product line of specialty polyols under the trademark Terol and distributes products worldwide from its manufacturing facility in Houston.
Commenting on the sale, Anthony P Hankins, President of Huntsman's Polyurethanes division, said, "We are very pleased with the acquisition of Oxid. In the past 18 months we have strengthened our downstream capabilities with the acquisition and establishment of new systems houses in Turkey, Russia and Indonesia; acquired a 20% stake in Nippon Aqua, a Japanese spray polyurethane foam insulation company; we've commissioned a new, state-of-the-art MDI splitter and downstream manufacturing unit in Rotterdam, the Netherlands; and we've invested in the expansion of our world-scale MDI manufacturing facility in Geismar, Louisiana, USA." He added that the acquisition would strengthen Huntsman's presence in insulation markets in North America and globally.
BASF to sell German subsidiary BASF Wall Systems
08 November 2012Germany: BASF, the multinational chemical company, has announced plans to divest its subsidiary BASF Wall Systems GmbH & Co. KG, together with its factory in Marktredwitz. Currently, BASF Wall Systems employees 190 workers.
BASF Wall Systems is a supplier of insulation and finishing systems in the German market. The company's main field of business is systems for the exterior and interior thermal insulation of buildings. In addition, the company offers renovation and restoration systems for historical buildings.
"Our Wall Systems business in Germany posted significant growth over the last few years. Nevertheless, there are only limited synergies with other BASF fields of activity that we can make use of. A new owner will be better able to drive the business," said Dr Tilman Krauch, president of BASF's Construction Chemicals division.
Rockwool increases full-year profit forecast
29 May 2012Denmark: Rockwool has increased its 2012 net profit forecast to US$109-118m compared with its previous guidance of 'above US$100m.' The company reiterated its forecast of full-year sales growth of 5% in 2012 but warned that it expects continued tough conditions in the Eurozone.
The insulation giant said that it expects some recovery in its profit margins, helped by price increases and an anticipated easing in inflationary pressures.
In the first quarter of 2012, the company's net profit rose to US$17.4m from US$11.5m in the first quarter of 2011, while earnings before interest and taxes (EBIT) rose by 48% to US$26m. Rockwool's sales rose by 11% in the quarter to US$4.1bn, driven by increased demand in some of its key European markets.