CEO statement on sustainability

“For many years, we have consistently pursued climate change mitigation. We are now taking this one step further with a new CO₂ strategy that will be fully integrated in our corporate strategy and existing business processes.”

Christian Buhl, CEO

We look back on an extremely successful, but from an operational point of view very challenging financial year. The further increase in results compared to the previous year was based on our structural and financial strength as well as our prudent crisis management right from the start of the COVID‑19 pandemic. This enabled us to further consolidate our position as leading supplier of sanitary products and gain market shares.

Consistent climate change mitigation

Since the acquisition of the energy-intensive ceramics business in 2015, Geberit has been able to reduce CO₂ emissions in relation to currency-adjusted net sales (CO₂ intensity) by 38%. Absolute CO₂ emissions were also able to be reduced significantly under the target value of 240,000 tonnes (2021: 217,009 tonnes). These results mean that between 2015 and 2021 Geberit overfulfilled the target specified in the Science Based Targets Initiative (SBTi) of limiting global warming to “well below 2°C” above pre-industrial levels. As we would like to continue down and further expand on this successful path, we developed a new CO₂ strategy in 2021. The goal in the future is to continue to reduce CO₂ intensity by an average of at least 5% per year.

A core element of the new CO₂ strategy is its integration into all relevant business processes. In addition to improved transparency, a focus is being placed on the measurability and direct responsibility of management and employees by means of short-term and medium-term goals. The annual achievement of objectives regarding CO₂ reduction is now relevant to bonuses for the some 220 members of Group management as well as employees in Switzerland (a total of 1,500 employees). In order to integrate the CO₂-reducing activities into the business processes in the best possible manner, an internal CO₂ pricing has now been introduced together with the annual definition of an internal CO₂ reference price, which serves as a basis for deciding on investments in measures to reduce the amount of energy used or CO₂ emissions. This is in addition to rolling medium-term planning for the CO₂ emissions at all major plants.

A leader in sustainability in the branch

In addition to climate change mitigation, we are also pushing forward with numerous other sustainability topics. This is demonstrated among others by our Platinum rating on the EcoVadis platform, which is an important sustainability rating for suppliers. Geberit wants to further expand on its leading role in sustainability in the sanitary industry. We also make a contribution to the UN 2030 Agenda for Sustainable Development, focussing on four of the 17 Sustainable Development Goals. We have been a member of the UN Global Compact since 2008 and are engaged in the area of environmental protection, responsible labour practices, human rights and the prevention of corruption both within the company itself and in our supply chain.

Our products are the key element in our value chain. Here, we promote closed material cycles and have been following the eco-design approach consistently since 2007. Eco-design is vital in allowing us to control the important environmental impacts of our products when selecting materials and during use. Since 2007, this systematic approach has been used in more than 170 product developments.

Focus on employees and targeted social responsibility

Another of our responsibilities – particularly during the current COVID-19 crisis – relates to the occupational health and safety of our employees. Further progress was seen here during the reporting year, with an 11% reduction in both accident frequency and severity. An employee survey carried out in the reporting year showed high levels of motivation and loyalty among our staff that far exceed the average scores achieved by other industrial companies. Furthermore, an equal pay analysis conducted by PwC in Switzerland confirmed that equal pay between female and male employees is upheld.

Added to this is our social responsibility, which we fulfil in a number of ways. This includes commissioning workshops for disabled persons on a regular basis. In the reporting year, orders amounted to CHF 10 million and gave around 550 people meaningful work.

Christian Buhl
CEO

CEO statement on sustainability