Paris, France — According to the 2015 first half-year figures, SUEZ Environnement delivered a solid set of results over this half year, enhanced by a favourable forex effect. Despite a sluggish macro-economic environment, the “Recycling & recovery Europe” division showed improved performance over the second quarter. The „Water Europe“ division reported strong performance, driven by higher volumes, prices and new services. The „International“ division benefited from sustained growth in almost all geographical regions and in all its businesses. Group revenue at 30 June 2015 was €7,295m, up +5.9 percent (+€404m) versus 30 June 2014.
At the 28 July 2015 meeting, SUEZ CEO Jean- Louis Chaussade stated: “The Board of Directors has approved the change of brand name to SUEZ, a short, strong name and full of history. This agreement completes the launch of our single worldwide brand. Since March, the 40 Group’s trademarks are federated under a single brand positioned in the sustainable resource management, which is already bearing fruits.“ And he added: „Thus, with a more cross-functional and integrated structure and good results, the Group confirms its targets for 2015.”
EBITDA at constant scope and exchange rate
EBITDA amounted to €1,293m at 30 June 2015. Adjusted for the capital gain linked to the disposal of CEM in 2014, it rose by +8.0 percent; at constant scope and exchange rate, growth was +2.0 percent. The Recycling and recovery Europe division performance declined by -3.1 percent on a comparable basis, mainly due to the negative price effect on electricity. EBITDA in the Water Europe division was up +5.5 percent at constant scope and exchange rate, benefiting from higher volumes in Spain and Chile, favourable price indexations in all regions and growth in new services. The International division reported +0.5 percent growth at constant scope and exchange rate, notably linked to higher volumes in all geographical regions.
Revenue in the Recycling and recovery Europe division amounted to €3,167m, down -0.5 percent at constant scope and exchange rate. Performance was affected by a sharply negative price effect on secondary raw materials (especially metals, -11 percent), mainly affecting the first quarter; adjusted for this effect, revenue is up at constant scope and exchange rate.
Increased recycling volumes
Treated volumes grew by +0.8 percent, benefiting from the commissioning of new processing plants, including the Suffolk energy-from-waste plant. The decline in volumes sent to landfill was offset by increased recycling volumes. In terms of geographical region, change at constant scope and exchange rate was -2.6 percent in France, +2.7 percent in the UK and Scandinavia, +1.6 percent in Benelux/Germany and +0.9 percent in Central Europe.
Commercial activity was rich over the half year with, in France, the award of the design-build-operate contract for the Ivry-Paris-XIII waste recovery centre (€900m, 23 years), the contract to operate an energy- from-waste unit in Carhaix (€25m, 10 years) and a contract with Total (12m€); as well as in Germany, the waste collection contract for the city of Heilbronn (€43m, 8 years).
EBITDA for the Recycling and recovery Europe division amounted to €368m; growth on a comparable basis contracted by -3.1 percent, as a consequence of the negative volume effect of the landfilling activity in France and lower electricity prices (-€7m), partially offset by good activity in the UK and a slight improvement in the Benelux/Germany and Central Europe regions. The Waste Europe division generated €25m in Compass savings over the six-month period.
The full summary of the half-year results 2015 can be downloaded under suez-environnement.fr.
Source: Suez Environnement