Geberit Group reports EBITDA growth
The Geberit Group, which celebrates 150 years of quality, innovation and cooperation this year, concluded 2023 with robust operating margins. Contributing factors included high operational flexibility in its plants and logistics, decreasing energy costs and a price increase of around 8%. These elements helped achieve an EBITDA margin of 30% for the year, despite a 9.1% decrease in net sales to CHF 3,084 million (corresponding to a 4.8% decline in local currencies).
The sales increase recorded by Geberit in 2022 in Europe was not replicated last year due to the challenging situation in the construction sector. Despite a generally poor year, however, some markets demonstrated positive growth, including Italy with a slight increase of 1.9%.
Looking ahead to 2024, the outlook for new construction remains challenging, but a stronger performance is anticipated in the renovation sector, which represents approximately 60% of Geberit’s sales. Additionally, an expected reduction in interest rates and a structural shift towards higher sanitaryware standards are likely to positively impact demand in Europe. In the non-European markets where Geberit operates, the focus for 2024 will continue to be on gaining further market share.
