Geberit Group has reported “strong” results in the first quarter of 2025 in a challenging environment.
The first three months of the year showed an increase in volumes with net sales up 4.9% to CHF 878million and adjusted for currency effects was 5.3%.
Operating cashflow (EBITDA) amounted to CHF277 million with a margin of 31.5, a dop from 32.8%, impacted by one-off costs of CHF 14million, for the closure of a German ceramics plant.
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Geberit attributed growth to newly introduced products and pull-forward effects at wholesales, ahead of its price increases in April.
Sales grew in Europe by 5%, with growth also recorded in the Middle East/Africa of 14.9% and America was up 4.5%.
Whereas sales in the Far East/Pacific region were slightly down on the previous year of 0.8%.
Installation and Flushing systems showed the greatest growth of 5.7%, followed by Bathroom Systems up 5.2% and 4.8% growth in Piping Systems.
Looking ahead, Geberit reports geopolitical risks and the associated macroeconomic uncertainties have continued to grow, with “significant” uncertainties in 2025.
The sanitary product manufacturer says Europe is confronted with muted growth prospects and the additional US tariffs could have a negative impact on economic development in the USA and on the global economy.
In particular, it states the central banks’ forecasted interest rate cuts could come under pressure due to inflation fears.
However, Geberit states despite the uncertain environment, demand in the building construction industry is expected to stabilise during 2025.
Regardless of the market environment, Geberit states its focus in 2025 will include its shower toilet business, driven by its entry-level AquaClean Alba, expansion of its piping business, growth outside Europe, and optimisation of its ceramics plants.