MALVERN, Pa.—Demand for spray polyurethane foam insulation in North America is growing at more than 15 percent per year and is expected to reach more than $900 million by 2016, creating investment opportunities for industry participants, according to a study by Principia.
The recovery in building construction not only is driving the strong growth, but also because SPF is gaining share from other insulation materials and expanding its use into other applications such as unvented attics, crawlspaces and exterior walls, the report says.
"The SPF industry is in a great position to grow its total profit pool over the next three years," Ken Jacobson, partner with Principia, said in a recent news release. "Based on its overall value proposition to property owners including increased energy efficiency, payback on insulation and more efficient HVAC (heating, ventilation and air conditioning) systems and increased comfort in homes and office buildings, SPF growth will outpace the overall industry."
The report, titled "Spray Polyurethane Foam 2013," contains key market data, trends and strategic insights into all aspects of the business from supply through distribution to end-user demand.
Principia said it conducted discussions with more than 150 industry participants including contractors, distributors, consultants and suppliers to compile a "comprehensive" assessment of the current state and future prospects for the industry.