Business Express is an online portal that covers the latest developments in the world of business and finance. From startups and entrepreneurship to mergers and acquisitions, Business Express provides reporting on the stories that matter most to business leaders and decision-makers.The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
2023 05 02T054104Z 1 LYNXMPEJ4104I RTROPTP 4 GEBERIT RESULTS
2023 05 02T054104Z 1 LYNXMPEJ4104I RTROPTP 4 GEBERIT RESULTS

Geberit reports Q1 beat despite end of bathroom renovation boom


(Reuters) -Swiss plumbing supplies maker Geberit on Tuesday reported higher than expected operating cashflow in the first quarter, despite an 8.9% drop in revenue as a pandemic-related boom in home renovation ended and inflation rose.

The maker of piping and ceramic products for bathrooms, reported sales of 892.7 million Swiss francs ($996.65 million) for the first quarter, compared with 980 million francs the previous year.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) dropped by 2.5% to 295.6 million francs in the first quarter, compared to 303.3 million francs a year earlier.

Geberit said its forecasts for the current year have not changed significantly and reiterated its expectation for a challenging environment for the construction industry in 2023.

Record-breaking inflation and higher interest rates across Geberit’s core markets, as well as the end of the home improvement trend seen during the COVID-19 pandemic, have weighed on demand as consumers cut back discretionary spending.

A rise in sales prices and lower energy costs in part compensated for lower volumes and higher expenses, including increased personnel costs and raw material inflation.

Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!


By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.

Jefferies analysts said the the sales trend was poor, but the near-term focus was likely to be the profit beat.

Vontobel said EBITDA had beaten market expectations by 7%.

Its share price was up 1.6% at 0718 GMT after rising around 4% just after the market opening, making it one of the best performers on the Swiss blue-chips index.

($1 = 0.8957 Swiss francs)

(Reporting by Anna Mackenzie and Amir Orusov in Gdansk; Editing by Kim Coghill, Uttaresh Venkateshwaran and Barbara Lewis)

 

Recent Post: