Mannok increases 2020 earnings despite year of challenges

Grant Prior 2 years ago
Share

Building products giant Mannok has posted a robust set of results for 2020 with a positive outlook for the rest of this year.

Earnings Before Interest, Tax, Depreciation & Amortisation rose by 17% to €31.1m for the 12 months ending 31 December 2020 on revenue steady at €233m

The strong performance comes despite the unprecedented twin challenges of Covid and Brexit during the period, which included a halt on all non-essential production at the company’s multiple manufacturing plants during Q2.

Last year also saw the company take on a rebrand from Quinn to Mannok, marking the culmination of a six-year transformation and investment programme that saw sales and employment increase by 44% and 25% respectively.

Mannok’s significant investment also continued, to the tune of €6.7m in the period, bringing total investment to €66m since the acquisition of the businesses in December 2014.

Performance Highlights:

  • EBITDA increased from €26.6m to €31.1m.  Revenue remained materially consistent at €233m, demonstrating strong resilience to the impact of Covid-19 on trading during the year.
  • 2020 saw good sales and margin increases across Cement and Packaging, partly offset by higher raw material costs for Insulation products.
  • Covid 19: Safety was the No. 1 priority in 2020 with extensive measures put in place to protect staff and customers.
  • Positive response internally and externally to new identity with rebranding ongoing across Mannok’s entire fleet, premises and product range.
  • Cash generation from operating activities improved by over 44% from €21.7m to €31.3m which aided a reduction in net debt in the period of €19.4m
  • Investment of €6.7m in the period, primarily in manufacturing technology and capacity enhancement, bringing total investment to €66m since the acquisition of the businesses in December 2014, with a further €6.1m of investment already in train for 2021.

Liam McCaffrey, Chief Executive Officer said: “The safety and welfare of our staff and their families has been, and remains, of paramount importance through the pandemic.  As an organisation with operations on both sides of the border, we are enormously grateful for the support and commitment of our 800+ colleagues in helping to navigate the twin challenges of Covid-19 and the Brexit transition.

“Careful resource planning and operational agility, facilitated by the significant investment we have made in our sales support, logistics and customs management infrastructure, have ensured uninterrupted supply chains for our customers across the construction and food industries on the island of Ireland and in Great Britain.

“Post the initial lockdown, trading recovered strongly in the second half of the year, supported by approximately €66m of new investment over the past six years.

“While the business has experienced some impact on trading activities over recent months, with a number of customer projects being delayed as a result of Covid-19, underlying demand has remained strong.

“Given our ongoing exposure to the food and construction sectors, the very positive response to our rebranding and the potential tail-wind of a vaccine-driven economic recovery, the outlook for 2021 is positive.”

Chief Financial Officer, Dara O’Reilly added: “Through timely adjustment to our manufacturing levels during the initial lockdown, we succeeded in managing our cost base and resource allocation whilst ensuring seamless supplies to essential industries.

“We continue to monitor our markets very closely as well as the supply of key input materials for our Insulation and Packaging businesses in particular.  Notwithstanding a positive outlook and good demand, we are expecting some margin compression as a result of inflationary cost pressures in 2021.”

Mannok comprises two key divisions, Building Products and Packaging. Its key activities are the manufacture, of cement, concrete, quarry, insulation materials and products, as well as the manufacturing of packaging products, mainly for the food industry.

 

Latest suppliers & buyers news

AFI promotes pair to boost powered access business

Specialist rewards outstanding contribution
2 weeks ago
AFI-Rentals

J S Wrights lands £1.5m council housing package

Specialist lands Southwark deal with Hill Group
2 weeks ago
J S Wright & Co Ltd

Offsite Solutions wins latest VINCI bathroom pod deal

Contract win to supply 757 bathroom pods at Bristol student block
2 weeks ago
Offsite Solutions

O’Donovan launches hazardous waste management service

Specialist adds latest service to extensive waste portfolio

Deanestor lands £5m fit out deal from BAM

Contract win is specialist's biggest ever education deal
3 weeks ago
Deanestor

UK Connect signs site broadband deal with Cala Homes

All firm's house building sites will have 5G connectivity during construction
3 weeks ago

Rye Group achieves carbon neutral status

Demolition specialist cuts carbon emissions by 92% in one year
3 weeks ago
Rye Group

AFI fleet investment hits £20m this year

Rental specialist accelerating its transition to electric and hybrid machines
2 months ago
AFI-Rentals

Pension provider B&CE changes name to People’s Partnership

New name for construction's pension body
2 months ago

CHAS accreditation scheme gets new owner

American supply chain management giant Veriforce buys UK accreditation scheme
2 months ago

AFI adds 50 new electric scissor lifts to fleet

Latest purchase of Zoomlion kit
2 months ago
AFI-Rentals

US modular giant VBC to set up UK factory

Volumetric Building Companies targets build-to-rent, affordable housing, student and hotel sectors
2 months ago

PERI launches rental scheme for DUO formwork

Customers can rent-out system before committing to buy
3 months ago
PERI Ltd

CSCS Alliance: Raising standards and safety in construction

CSCS cards are made up of an alliance of 38 different organisations
3 months ago

Offsite Solutions seals £2.3m bathroom pod deal from Willmott Dixon

Latest win is for £70m flagship apartments scheme in Peterborough
3 months ago
Offsite Solutions

UK’s first cement free masonry mortar launched

Savings in CO2e emissions of up to 70%
3 months ago
Cemfree

J S Wright lands £17m M&E package at London Dock

Specialist to start on site later this year at former News International printworks
3 months ago
J S Wright & Co Ltd

New Finance Director at AFI

Management reshuffle at Powered access specialists
3 months ago
AFI-Rentals

AFI launches one-stop-shop for equipment hire, sales and training

New website satisfies all your powered access equipment needs
4 months ago
AFI-Rentals

M&E specialist JS Wright names new managing director

Peter Grierson takes over from Phil Leech who is now chairman
4 months ago
J S Wright & Co Ltd

Deanestor lands £1.5m in fit out deals for North Lanarkshire Council

Brace of contracts for furniture and fitout specialist
4 months ago
Deanestor

Offsite Solutions lands latest EQUANS pod deal

£1.6m order for 641 shower pods for a new student living scheme
4 months ago
Offsite Solutions

LPG generators from Adlington are a hit on site

Environmental savings and cash savings with liquid gas

WOODSmith Construction achieves Elite safety standard

Contractor gains highest CHAS standard in first year of operation

O’Donovan switches fleet to vegetable oil power

Waste disposal specialist to convert all of its 100 HGVs

Nixon Hire launches dedicated Renewable Power Division

New service will save money on site running costs
5 months ago
Nixon Hire

THSP celebrates 30 years of keeping sites safe

Health and safety specialist is now employee-owned
5 months ago
THSP

Procore establishes new EMEA hub in Dublin

Construction software giant continues regional growth
5 months ago
Procore

Terrawool joins forces with Etag

Etag Fixings now the sole distributor of TerraWool insulation products

Firm Quick Find

Join Now

Sorry, there was a problem with the details you have entered. Please review the highlighted fields.

Sorry, this email address has already been registered.

Top searches

Contractor services