Geberit share information
Geberit share information
Share price performance in the year under review
The challenging market environment impacted the price of the Geberit share throughout the trading year. Beginning the year at CHF 216.20 the share price hovered around the level of CHF 200 for the first half of the year. Mainly external factors, such as concerns over the European debt crisis and associated turbulence on the currency front, were responsible for the price correcting considerably downwards in the third quarter. A mild recovery followed, however, so that the Geberit share ended the year at CHF 181.00. Despite convincing performance in operating business activities, this corresponds to a disproportionate decline of 16.3% in comparison to the relevant indices. The Swiss Performance Index (SPI) fell by 7.7% over the same period. Viewed over the past five years, the Geberit share suffered an annual average loss in value of 0.7% (SPI: -5.1%). The Geberit Group’s market capitalization reached CHF 7,212 million at the end of 2011.
Geberit shares are listed on the SIX Swiss Exchange, Zurich, but may also be traded in the over-the-counter markets on the Frankfurt, Stuttgart and Berlin stock exchanges.
At the end of 2011, the free float as defined by SIX was 100%.
Given a normal market environment, Geberit can achieve solid free cashflows, which are used to pay back debts, applied toward any acquisitions or distributed to shareholders. The capital structure is prudently maintained and the company strives for a solid balance sheet structure with a buffer of liquidity. On the one hand, this policy guarantees the financial flexibility necessary to achieve growth targets, and on the other hand, offers investors security. Surplus liquid funds are distributed to shareholders. Geberit continued this shareholder-friendly distribution policy last year as well.
Over the last five years, more than CHF 1.5 billion has been paid out to shareholders in the form of distributions or share buybacks. During the same period, the price of Geberit shares has fallen slightly from CHF 187.80 at the end of 2006 to CHF 181.00 at the end of 2011.
The Board of Directors will propose a distribution of CHF 6.30 to the General Meeting of Geberit AG on April 4, 2012, an increase of 5.0% over that of 2010. As such, the shareholder-friendly distribution policy will be continued. As in the prior year, the distribution will be paid out entirely in the form of a tax-exempt payment from reserves from capital contribution. The payout ratio of 63.7% of net income is in the upper range of the 50% to 70% corridor, which was increased by the Board of Directors as a result of the reassessment of the use of liquid funds at the beginning of 2011.
Subject to the shareholders’ approval, the distribution will be paid on April 13, 2012.
The Board of Directors of Geberit AG has decided to initiate a share buyback program in 2011 and 2012. Shares amounting to a total of a maximum of 5% of the share capital recorded in the Commercial Register are being repurchased via a separate trading line, less withholding tax, and cancelled by means of a capital reduction. As of December 31, 2011, a total of 1,026,000 shares, corresponding to 50.0% of the entire program, had been bought back for the sum of CHF 192.5 million. The expected buyback volume is around CHF 380 million.
The General Meeting of April 19, 2011, approved a capital reduction in the amount of the shares repurchased as part of the 2006 share buyback program. The1,391,000 shares repurchased in that program, corresponding to 3.4% of the share capital, were cancelled as of July 6, 2011.
Geberit simultaneously publishes current and comprehensive information for all market participants and interested parties on the Internet (→ www.geberit.com), including ad-hoc announcements. Among other things, the current version of the investor presentation is available on the Internet at any time. In addition, interested parties may add their names to a mailing list (→ www.geberit.com/mailinglist) in order to receive the most recent information relating to the company.
CEO Albert M. Baehny, CFO Roland Iff and Head Corporate Communications Roman Sidler are in charge of the ongoing communication with shareholders, the capital market and the general public. Contact details may also be found on the Internet in the relevant sections. Information relating to Geberit is provided in the form of regular media information, media and analysts’ conferences as well as financial presentations.
Contact may be established at any time under
Extensive share information can be found under
→ www.geberit.com > investors > share information.