Building materials group focuses on production of off-site solutions in response to government policy.

Kingspan has increased pre-tax profit by 34% to £60.72m for the year ended 31 December 2004.

The building materials group said that strong progress was made in all major divisions despite rising input costs. Kingspan said that material costs rose by £20.7m and it anticipated further increases in 2005.

Kingspan said the results were boosted by the resumption of growth in the raised access floors business, and the exceptional high revenue growth at the insulated panels and insulation boards divisions which grew by 30% and 28% respectively.

Chairman Eugene Murtagh said: “Trading conditions in all of our geographic markets proved considerably more stable than in recent times.”

Dividends for the year increased by 33% to 6.624p per share and turnover rose 22% to £661m.

Kingspan says that in future it will continue to focus on modern methods of construction. In 2004 sales its off-site and structural division, which represents 12% of group turnover in 2004, grew by 28%. The company is currently investment £7m at its off-site manufacturing facility in North Yorkshire.

The company said organic growth in the future would be complemented by acquisitions.