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Investing.com -- Geberit (SIX:GEBN) on Tuesday posted first-quarter 2025 results showing solid sales momentum and a likely profit beat.
Organic sales rose 5.3% year-over-year, up from 1.4% in the prior quarter and ahead of most sector peers that have reported to date. Total (EPA:TTEF) sales were in line with Jefferies estimates and slightly ahead of consensus.
The growth was volume-driven, supported by pre-buying ahead of an April price increase and new product launches.
Pricing effects are expected to be reflected starting in the second quarter. A key focus for investors will be whether volumes have normalized since the price adjustment.
Jefferies estimates that adjusted EBITDA beat consensus by about 3%, with higher volumes offsetting wage and energy cost pressures.
One-time costs tied to a ceramics plant closure, previously disclosed in March, were confirmed and appear to have been factored into adjusted figures.
The company maintained its outlook, stating that demand in the construction sector is expected to stabilize during 2025, though it flagged rising geopolitical and inflation-related risks.
Geberit continues to trade at a premium, with a valuation above 20 times projected 2026 EV/EBITDA, the highest in Jefferies’ coverage.
While sales estimates are likely to remain steady, earnings forecasts may rise slightly if the margin beat holds.