Despite 1.7% increase, Geberit sales suggest an organic decline

21 Aug 2024 CW Team

Swiss plumbing materials supplier Geberit has forecasted flat organic sales for 2024, citing weak construction activity in Europe, a projection that falls short of market expectations. The company's shares dropped by 3.9% as of 0941 GMT; making it one of the worst performers on Europe's STOXX 600 index.

Geberit, whose products are used in both new builds and renovation projects, anticipates an overall decline in the construction industry in 2024, with the most significant downturns expected in Northern Europe, Germany, and Austria. Germany's property sector, currently in its third year of decline, is experiencing its most severe slump in decades.

The company's sales forecast suggests an organic decline in the second half of the year, despite a 1.7% increase in the first half when adjusted for negative currency effects. CEO Christian Buhl highlighted that the outlook is clouded by uncertainties regarding wholesalers' inventory levels and a higher comparison base in the fourth quarter of the previous year.

Geberit also projected that its core profit (EBITDA) margin for the year would be around 29%, a decrease from 29.9% in 2023. This margin guidance and the flat sales outlook were both below consensus expectations, which had anticipated organic growth of 1.1%.

For the first half of the year, Geberit's EBITDA fell by 1.6% to 518 million Swiss francs ($599 million), resulting in a margin of 31.6%. The company expects this margin to decline in the second half due to typical seasonal factors. The combination of record-breaking inflation and higher interest rates in Geberit's core markets has led both consumers and companies to delay construction projects in an effort to conserve cash. This trend has similarly impacted other construction sector suppliers, including Heidelberg Materials and Holcim, which have recently reported lower sales figures. (ET)

Infrastructure Urban

06 Apr 2026

InsideFPV Delivers ₹10 Crore Kamikaze Drone Order Under MoD’s EPR Route

InsideFPV, a Surat-based drone technology manufacturer, has successfully executed a ₹10 crore defence contract to supply indigenous kamikaze drones under the Ministry of Defence’s Emergency Procurement Route (EPR). The company completed the delivery of hundreds of FPV kamikaze drone platforms within a rapid two-month timeframe, highlighting its ability to meet urgent military procurement timelines.The supply orders were fulfilled under the emergency procurement mechanism, which is aimed at fast-tracking acquisitions for immediate operational needs. InsideFPV’s quick execution reflects it..

Vedanta Resources Secures Fitch Upgrade to ‘BB-’, Best Rating Since 2015

Vedanta Resources Limited (VRL), a global player in metals, oil & gas, critical minerals, power and technology, has received a credit rating upgrade from Fitch Ratings, marking its strongest bond rating in over a decade.Fitch has raised Vedanta Resources’ Long-Term Foreign-Currency Issuer Default Rating (IDR) to ‘BB-’ from ‘B+’, while maintaining a Stable Outlook. The agency also upgraded VRL’s senior unsecured rating, along with the ratings of US dollar-denominated bonds issued by Vedanta Resources Finance II Plc and guaranteed by VRL, to ‘BB-’.The upgrade represents Vedan..

NAREDCO NextGen NCR Chapter Launched

The NAREDCO NextGen NCR Chapter was recently launched at Excelerate 2026 in Mumbai, marking a key step towards integrating emerging real estate leaders from the National Capital Region with the national platform. The initiative aims to promote sustainable and responsible urban development through collaboration and knowledge exchange.The event brought together young developers, entrepreneurs, and professionals from across NCR, including Noida, Gurugram, Ghaziabad, Faridabad, Bhiwadi, and Meerut. Discussions focused on urban development, finance, sustainability, innovation, and policy, emphasisi..