Trading Statement

Kingspan Group PLC
29 June 2007

Kingspan Group Plc



TRADING UPDDATE



29th June 2007



Kingspan Group plc is pleased to report that trading for the first six months of
2007 has shown good growth over the same period last year.



As stated at the AGM on 24th May, the Group's businesses in the UK, Western
Europe, Central Europe, and the US are all performing strongly, and despite the
well anticipated tempering of the Irish residential market, overall demand for
Kingspan products is well ahead in Ireland, reflecting the strength in the
non-residential sector.



Insulated Panel volumes in the UK, Ireland, Western Europe and Central Europe
are well ahead of prior year as conversion continues and CEE market activity has
been unseasonably buoyant.  In Canada the Group is still in the very early
stages of development, but progress has been positive, although gradual.
Insulation sales have been strong in the UK, and steady in Ireland where housing
construction has moderated.



Despite this moderation, Offsite sales in Ireland remained quite robust in the
early part of the year but clearly any slowdown in housing output would impact
sales and margins in this Division.  Measures taken by Kingspan to consolidate
the UK Offsite market are underway and have resulted in significantly increased
sales in the first six months of the year, although margins will remain low
while the integration process continues.



The Environmental Division has experienced tough trading conditions in its fuel
storage product area in both the UK and Ireland, which was anticipated.  This
has been somewhat alleviated by the better performances of the expanding Hot
Water Systems and Water Treatment segments.  This Division's Mainland European
business, based in Poland, is continuing to show steady progress.



Access Floors in Europe has continued to improve and is well up on prior year,
while in North America this business is performing exceptionally well.



As the Group accelerates its organic development, capital expenditure for the
current year and 2008 will be significantly up on previous years, with
investment likely to exceed €120mn per annum.



In general, order levels in the first six months of the year have been strong,
and the Board anticipates that the current momentum of the businesses will
continue in the immediate term.  In the absence of any unforeseen circumstances
the Group is confident, given the strong performance in the first six months of
the current year, that operating profits for the year as a whole should grow in
the region of 20% over the figure of €194 million in 2006.

Kingspan's interim results for the period ending 30th June 2007 will be issued 
on 4th September 2007.


For further information contact:


Murray Consultants                        [phone]
James Dunny


Buchanan Communications                   [phone]
Tim Thompson/Jeremy Garcia




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