Veolia Environnement S.A.

Overview Key strengths Key risks Leading worldwide position in both the water concession and water solution (48% of 2023 EBITDA) and waste (29%) businesses. Exposure to country risk, with about 35-40% of revenue from emerging markets (as of the first half of 2024). Predictable cash flows, supported by long-term diversified environmental services and positive secular market trends, with ample geographic and contract diversity. Cash flow volatility in the industrial and hazardous waste businesses, notably due to dependence on industrial output and the price volatility of recycled products. Profitability significantly improved because of successful cost efficiency measures and cost synergies following the 2022 Suez integration. Without the full tariff pass-throughs, which have protected Veolia Environnement S.A. to date, further periods of

...Veolia's solid financial performance in the first half of 2024 highlights the group's strong business mix and the benefits from its diversified geographic footprint. Revenue of 22.1 billion was almost flat year on year due to the high comparison base of the first half of 2023, boosted by higher energy prices and driven by a solid operating performance across water and waste businesses. Water activities increased organically by 6.4%, driven by the water technologies business, as well as the upward revision of tariffs in all geographies and increased volumes. Waste activities grew at the same pace on the back of tariff reviews, increased volumes, and the hazardous waste segment outside of the Asia region. By contrast, energy...

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