Revenue at Cavan-based building materials group Kingspan fell by 35 per cent in the first half of 2009, while operating profits also slumped.
Annoucing its latest results, the company, which owns timber frame firm Century Homes, said revenue fell from €849.4 million for the first six months of 2008 to €552.5 million for the six month period ended June 30th 2009.
During the same period, operating profit fell 66 per cent from €90.1 million to €30.3 million.
Earnings per share declined 70 per cent from 41.1c to 12.3c while ebitda (earnings before interest, taxes, depreciation and amortisation) was down 55 per cent to €50.7 million.
Trading profit also fell sharply over the year from €92.2 million for the first half of 2008 to €30.3 million for the six month period ended 30th June 2009.
"A combination of global recession and unprecedented credit restrictions delivered a general market contraction in the first half of 2009 not experienced in the lifetime of this business. Throughout the period and beforehand, Kingspan has responded quickly and decisively to reorder its cost base appropriately. Nevertheless, our strategy has remained unchanged – to be at the forefront globally of efforts to drive deeper market penetration of sustainable, low energy building solutions," said Gene Murtagh, chief executive officer at Kingspan.
"The focus for now continues to be on cash generation and making further progress on debt reduction ensuring the Group has the balance sheet strength to consider opportunities which will present themselves beyond the global contraction," he added.
Sales in Kingspan's insulated panels business, which accounts for half of the firm's turnover, fell 32 per cent to €284 million during the first six months of the year, with Irish sales down 67 per cent.
Insulation sales declined by 45 per cent to €106.9 million during the six-month period, while access floor sales were down 18 per cent to €80 million. Environmental and renewables sales dropped 42 per cent to €81.6 million.
Speaking on RTÉ's
Morning Ireland, Mr Murtagh said that Kingspan's Irish business had been particularly affected by a decline in business over the past six months with weakness in the non-residential sector a key issue.
He said that trading in Ireland remained exceptionally difficult and that it would be a number of years before there would be any uplift in the residential sector.
Mr Murtagh added that the company had seen a "significant upturn" inn the refurbishment side, suggesting that while people may not focusing on building in the current climate, many are upgrading.
He also said the company had cuts costs by €60 million over the past 18 months to offset the sales decline.
