17. Participation plans

The total personnel expense arising from the Geberit participation plans is presented in the table below:

Share plans

In 2025, employees were able to purchase a defined number of shares at a discount of 45% (PY: 35%) compared to the market price (“Employee share purchase plan”). Geberit management was entitled to draw the previous year’s variable remuneration partly or entirely in shares valued at market price (“Management share purchase plan”). For each of these shares, management participants received two options (see “Option plans”). The members of the Board of Directors received a significant part of their compensation for 2024 in shares of Geberit AG (measured at current market value). All share plans are subject to blocking periods valid beyond the period of employment.

The share plans introduced in 2025 are summarised below:

The 38,047 shares required for these plans were taken from treasury shares.

As at 31 December 2025, the Board of Directors, the Group Executive Board and the employees owned a combined total of 414,164 (PY: 417,854) shares, i.e. 1.2% (PY: 1.2%) of the share capital of Geberit AG under these plans.

Option plans

The management has the opportunity to invest part or all of their variable remuneration in shares of Geberit AG through the management share purchase plan (MSPP). They may define a fixed number of shares to purchase, or a certain amount or a percentage of their variable remuneration to be invested in shares. In order to encourage management to participate in the programme in 2025, two free options are provided for each share purchased through the programme. These options are subject to a vesting period of three years.

In connection with the management stock option programme (MSOP), the members of the Group Executive Board and the Group management are entitled to additional options. The purpose of the MSOP is to establish a long-term incentive that ensures long-term value creation for the company, alignment of the interests of executives to those of shareholders and long-term retention of executives. At the beginning of the vesting period, share options are allocated at fair market value. The share options vest after a period of 3 years, subject to the achievement of a performance criterion, the average Return on Invested Capital (ROIC), over the respective vesting period.

The exercise price of the options corresponds to the fair market value of the Geberit shares at the grant date. The options have a term of ten years (MSPP & MSOP). They can be exercised between the vesting date and the maturity date.

The following numbers of options out of the 2025 grant are allocated with final effect at the end of the vesting period depending on target achievement (average ROIC):

The fair value per option granted in 2025 as at March 2025 amounted on average to CHF 56.35 (PY: CHF 67.12) for MSPP and CHF 56.35 (PY: CHF 67.12) for MSOP at the respective grant date. The fair value was determined using the binomial model for “American Style Call Options”.

The calculation model was based on the following parameters:

The exercise price corresponds to the average price of Geberit shares for the period from 21 February to 20 March 2025. The expected volatility is calculated based on historical volatility observed over a period consistent with the expected life of the options.

The following table summarises all option plans in place as at 31 December 2025:

The following movements took place in 2025 and 2024:

The 1,434,015 options outstanding represent 4.2% of the outstanding shares of Geberit AG. In principle, the Group hedges this exposure with treasury shares.

The options outstanding as at 31 December 2025 had an exercise price of between CHF 361.75 and CHF 584.10 and an average remaining contractual life of 5.6 years (PY: 5.7 years).