Geberit Ag · SIX:GEBN
Geberit — 9M 2023 Earnings Presentation
17 slides from Geberit's earnings presentation, Nov 2, 2023
Slide 1: 9M 2023 Results
9M 2023 Results Christian Buhl, CEO Tobias Knechtle, CFO November 2, 2023
Slide 2: Agenda
Agenda • Q3 2023 • 9M 2023 • Outlook 2023 SLIDE 2 9M 2023 RESULTS NOVEMBER 2, 2023
Slide 3: Key figures Q3 2023 – Strong bottom-line results despite volume decline
Key figures Q3 2023 – Strong bottom-line results despite volume decline Net sales growth (in CHF) Net sales growth (c.a.) -7.9% -4.8% • Net sales decline in extraordinarily difficult market environment • Strong negative currency development EBITDA margin EPS growth (c.a.) 30.6% +13.8% • Strong profi
Slide 4: Net sales Q3 2023 – By region
Net sales Q3 2023 – By region Variance to PY CHF million Net sales % CHF % c.a. Geberit Group 728 -7.9% -4.8% Central Europe • Net sales decline in local currencies − Germany 217 -11.0% -9.9% − Volume/mix effect: around -11% − Switzerland 80 -10.6% -10.6% − Price effect: around +6% − Italy 55 -7.9%
Slide 5: Net sales Q3 2023 – By product area
Net sales Q3 2023 – By product area Variance to PY CHF million Net sales % CHF % c.a. Installation & Flushing 254 35% -11.3% -8.1% Systems • Net sales decline in installation & flushing Piping systems and bathroom systems 257 35% -1.4% +1.1% Systems • Growth in piping systems driven by FlowFit Bathr
Slide 6: Key figures Q3 2023 – Double digit growth of all bottom-line results (c.a.)
Key figures Q3 2023 – Double digit growth of all bottom-line results (c.a.) Variance to PY CHF million Q3 2023 Q3 2022 % CHF % c.a. • Strong negative currency development Net sales 728 791 -7.9% -4.8% − Negative effect on all P/L items EBITDA 223 206 +8.1% +13.4% − Limited margin impact due to stron
Slide 7: EBITDA margin Q3 2023 – Substantial margin increase despite volume decline
EBITDA margin Q3 2023 – Substantial margin increase despite volume decline 30.6% -0.4% +2.2% 26.1% +6.0% -3.3% EBITDA Volume and Price effects, Other cost Currency effect EBITDA margin Q3 2022 product mix effect1 net2 effects3 margin Q3 2023 • Negative operating leverage from volume decline mitigate
Slide 8: Agenda
Agenda • Q3 2023 • 9M 2023 • Outlook 2023 SLIDE 8 9M 2023 RESULTS NOVEMBER 2, 2023
Slide 9: Key figures 9M 2023 – Substantial margin growth despite volume decline
Key figures 9M 2023 – Substantial margin growth despite volume decline Net sales growth (in CHF) Net sales growth (c.a.) -12.3% -7.9% • Net sales decline due to record high comparison basis and declining market environment • Strong negative currency development EBITDA margin EPS growth (c.a.) • Impr
Slide 10: Net sales 9M 2023 – By region
Net sales 9M 2023 – By region Variance to PY CHF million Net sales % CHF % c.a. Geberit Group 2’390 -12.3% -7.9% • Record high volumes in previous year Central Europe • Net sales decline in local currencies − Germany 702 -16.5% -13.4% − Switzerland 253 -5.8% -5.8% − Volume/mix effect: around -18% −
Slide 11: Net sales 9M 2023 – By product area
Net sales 9M 2023 – By product area Variance to PY CHF million Net sales % CHF % c.a. Installation & Flushing 880 37% -14.5% -10.1% Systems • Net sales decline across all product areas • Stronger stocking effects at wholesalers for Piping Installation & Flushing Systems 792 33% -9.4% -5.4% Systems •
Slide 12: Key figures 9M 2023 – Growth of all bottom-line results in local currencies
Key figures 9M 2023 – Growth of all bottom-line results in local currencies Variance to PY CHF million 9M 2023 9M 2022 % CHF % c.a. • Strong negative currency development Net sales 2’390 2’725 -12.3% -7.9% − Negative effect on all P/L items EBITDA 749 767 -2.4% +4.0% Margin 31.3% 28.1% − Limited mar
Slide 13: EBITDA margin 9M 2023 – Substantial margin increase despite volume decline
EBITDA margin 9M 2023 – Substantial margin increase despite volume decline -0.5% 31.3% +1.2% 28.1% +6.9% -4.4% EBITDA Volume and Price effects, Other cost Currency effect EBITDA margin 9M 2022 product mix effect1 net2 effects3 margin 9M 2023 • Negative operating leverage from volume decline mitigate
Slide 14: Raw material prices – Avg. 9M raw material prices below previous year's level
Raw material prices – Avg. 9M raw material prices below previous year’s level Geberit: Monthly raw material prices1 (currency adj.) Index: Jan 2021 = 100 2022 2023 140 • Raw material prices in 9M 2023 -1% vs. 9M 2022 • Decreasing raw material prices in Q3 2023 135 − -4% vs. Q2 2023 130 − -6% vs. Q3
Slide 15: Agenda
Agenda • Q3 2023 • 9M 2023 • Outlook 2023 SLIDE 15 9M 2023 RESULTS NOVEMBER 2, 2023
Slide 16: Outlook 2023
Outlook 2023 • Significantly increased geopolitical risks • Overall declining building construction market, especially in sanitary sector driven by − Building cost inflation Market − Increased interest rates − Pull-forward effects from COVID-19 induced home improvement trend − Shift from sanitary to
Slide 17: Disclaimer
Disclaimer While Geberit is making great efforts to include accurate and up-to-date information, we make no representations or warranties, expressed or implied, as to the accuracy or completeness of the information provided in this handout and disclaim any liability for the use of it. The statements