Geberit and COVID-19
Construction industry still impacted by the effects of COVID-19
The situation in the construction industry was pleasing in most regions in 2021. Italy, United Kingdom/Ireland, the Iberian Peninsula and France – which were particularly affected by the COVID-19 pandemic in the previous year – saw above-average growth. Looking back, the pandemic-related decline in sales in the months of April and May 2020 initiated an unprecedented growth phase. In the last six quarters, net sales for the Geberit Group grew around three times faster than the long-term average. At the same time, this sudden strong growth represented an extremely challenging situation for the entire Geberit organisation, particularly in Purchasing, Production, Logistics and Sales.
The favourable market environment was supported and driven throughout the pandemic by the home improvement trend, among others. Achieved market share gains were based on the structural and financial strength, the resilient business model as well as prudent crisis management right from the start of the COVID-19 pandemic.
Most important strategic findings after almost two years of a pandemic
- Focus on strong positions – the stronger the market position, the better the development during a crisis
- Stability, continuous development and adherence to the strategy create value in times of crises
- Overreactions are to be avoided in a crisis