Geberit’s Operating Profit Rose 16.4% in Q3 2020
Geberit reported an increase in sales and operating profit during its third quarter, the plumbing supplies maker said on Thursday, as it saw some catch up from the COVID-19 driven downturn earlier in the year.
The maker of shower toilets and bathroom ceramics said its third-quarter sales rose 5.3% to 794.1 million Swiss francs ($875.52 million), while operating profit rose 16.4% to 227.4 million francs. Net income rose 11% to 189.4 million francs from 170.6 million francs a year earlier.
“In the third quarter, catch-up effects led to strong sales growth in virtually all European markets – including in the countries where the construction sites remained closed for extended periods,” Geberit said.
The Swiss company, whose results are seen as a proxy for the health of broader sector, said Germany, Italy, Austria, and France all saw the biggest recovery with each reporting sales increases of more than 10% during the third quarter.
Despite the improvement Geberit said it expects a weaker fourth quarter, adding it was “very difficult” to give an outlook for the rest of the year due to the ongoing uncertainties around the pandemic. For the full year 2020, it expects currency-adjusted net sales to be sightly below the previous year and an operating cashflow margin above 2019 levels.