Financial Data and Key Metrics Changes - The company achieved a significant improvement in net free cash flow, reaching €1.143 billion, which is 11% higher than in 2022, leading to a reduction in net financial debt to €17.9 billion, below the target of €18.5 billion, and a decrease in leverage ratio to 2.74x [5][11][33] - Current net income rose by 14.9% to €1.335 billion, marking an all-time high for the company and doubling compared to 2018 [33][90] - EBITDA increased by 7.8% to €6.543 billion, exceeding the annual guidance range [52][89] Business Line Data and Key Metrics Changes - Water business experienced organic growth of 7.5% to €18.4 billion, driven by tariff indexation and strong growth in Water Technologies, which grew by 12.1% [7][75] - Waste activities grew by 3.4% to €14.7 billion, with a 5.9% increase excluding the impact of recyclate prices [43][87] - Energy revenue surged by 19.9% to €12.3 billion, primarily due to increased energy prices, with EBITDA growing by 30% [8][43] Market Data and Key Metrics Changes - The company reported strong growth in all activities, with 41% of sales from water, 32% from waste, and 27% from energy, highlighting a balanced geographical portfolio with nearly 40% of sales generated outside Europe [36][76] - The order book for Water Technologies reached €5.3 billion, up 13% from 2022, indicating robust demand driven by water scarcity and quality issues [37][78] Company Strategy and Development Direction - The company is focused on ecological transformation, leveraging its unique positioning in the market to drive growth, particularly in water management and pollution treatment [32][77] - The GreenUp strategic plan aims to enhance the company's international reach and operational efficiency, targeting an EBITDA growth of 5% to 6% for 2024 [50][83] - The company is committed to maintaining operational excellence and achieving cost synergies, with €168 million in synergies achieved in 2023 alone [39][48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to stabilize margins in the energy sector despite potential fluctuations in energy prices, supported by tariff increases and a strong hedging policy [15][66] - The company anticipates a positive lag effect from tariff increases in 2024, which will help offset lower energy prices [69][79] - Management highlighted the resilience of the business model, which is largely uncorrelated with macroeconomic trends, allowing for continued growth even in a subdued economic environment [41][73] Other Important Information - Employee shareholding has increased to 7.5%, making employees the largest shareholders of the group [2] - The company achieved €389 million in efficiency gains, exceeding its target of €350 million [39][73] Q&A Session Summary Question: What is the guidance for organic EBITDA growth in 2024? - The company anticipates organic EBITDA growth of 5% to 6% for 2024, reflecting confidence despite macroeconomic uncertainties [92][93] Question: How will energy prices impact EBITDA in 2024? - Management indicated that while energy prices may decrease, the lag effect from tariff increases will positively influence margins in 2024 [66][69] Question: What is the expected capital gain from the SADE disposal? - The expected capital gain from the SADE disposal is around €40 million, which will be included in 2024 [71][100] Question: Will there be any major M&A activities anticipated? - The company does not anticipate major M&A activities but remains open to opportunities that offer significant value creation [100]

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Financial Data and Key Metrics Changes - Revenue increased by 10.7% to €33.2 billion, with a 4.6% increase excluding energy prices [3][7][32] - EBITDA grew by 7.7%, and current EBIT increased by 14.2% [4][27] - Free cash flow reached €435 million in Q3, significantly up from 2022 [4][51] - Net financial debt decreased to €18.9 billion, with expectations to reach around €18.5 billion by year-end [4][51] Business Line Data and Key Metrics Changes - Water revenue increased by 7.2%, driven by tariffs and commercial momentum, despite lower volumes due to adverse weather [8][34] - Waste activities grew by 3.1%, with a 6.1% increase excluding recycled prices [8][39] - Energy activities saw a significant increase of 30.4%, primarily due to energy price pass-through [9][41] Market Data and Key Metrics Changes - 40% of revenue is generated outside Europe, with $5 billion in the U.S. market [5][11] - Strong growth in Central and Eastern Europe, with revenue up 16.3% in the first nine months [32] - The U.K. market showed resilience with a 5.6% revenue growth [33] Company Strategy and Development Direction - The company aims to exceed its yearly synergy targets, having already achieved €131 million in synergies in the first nine months [21][25] - Focus on decarbonization and resource generation as key growth engines, with significant contracts awarded in these areas [5][13] - Resumed asset rotation policy to enhance value creation after two years of focusing on acquisitions and divestitures [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting the upper range of EBITDA guidance for 2023, with no anticipated negative trends [6][56] - The company highlighted strong commercial momentum and resilience in its business model, which is 85% immune to macro trends [5][11] - Management noted that inflation has been neutral or slightly positive for margins, with no expected squeeze in the future [78] Other Important Information - The Veolia Cares initiative was launched, providing a common base level of social protection for all employees worldwide [24] - The company is committed to maintaining a solid investment-grade rating while managing its capital allocation strictly [19][52] Q&A Session Summary Question: Regarding strong results and guidance - Management confirmed confidence in reaching the upper range of EBITDA guidance, with no expected negative trends in Q4 [56][57] Question: On cost-cutting translation and working capital - Management indicated that 30% to 50% of cost-cutting translates into underlying EBITDA gains, with current translation at 35% [59][61] Question: On thematic events and core activities - Management selected energy, U.S. activities, and water technology for thematic events due to their core importance and potential underappreciation in the market [65][67] Question: On waste volumes and pricing dynamics - Management noted flat waste volumes but highlighted strong pricing power and no signs of a price war [73][75] Question: On synergies and inflation impact - Management provided examples of synergies from operational efficiencies and confirmed that inflation remains neutral or slightly positive for margins [77][78]

Financial Performance - Veolia's revenue reached €33.161 billion, up by 10.7% at constant scope and forex[5] - EBITDA increased to €4.793 billion, a 7.7% rise[5] - Current EBIT was €2.518 billion, showing a 14.2% increase[5] - Net financial debt decreased to €18.881 billion[5] - The company generated €435 million in net free cash flow (FCF) in Q3[5] Synergies and Efficiency - Cumulative synergies from the Suez merger reached €277 million, exceeding the initial target[5] - The company confirmed €500 million in total synergies[5] - Efficiency gains amounted to €284 million, approximately 80% of the year's target[5] Business Growth and Contracts - A new €2 billion waste contract was secured in Hong Kong over 20 years, treating 90MT of non-recyclable waste[5, 19] - Water Technologies achieved record bookings of €3.1 billion, a 20% increase compared to 2022[6, 24] Guidance and Leverage - Veolia fully confirmed its 2023 guidance, expecting EBITDA organic growth at the upper end of the +5%/+7% range[6] - The leverage ratio is now below 2.9x[6]

Financial Data and Key Metrics Changes - Revenue increased by 14.2% to €22.7 billion, with EBITDA growing by 8.2%, current EBIT by 13.3%, and current net income by 18.7% to €662 million [2][19] - Free cash flow improved significantly, with net financial debt well controlled at €19.2 billion [20][38] Business Line Data and Key Metrics Changes - Water segment grew by 8.4%, driven by tariffs, volume, and strong commercial momentum [5][24] - Waste activities increased by 3.3%, or 6.4% excluding recycled price impacts, due to price increases and indexation [5][27] - Energy activities surged by 41%, primarily due to energy prices, which are largely passed through to clients [6][30] Market Data and Key Metrics Changes - Strong performance in the U.S., Latin America, and Eastern Europe, offsetting softer delivery costs in other regions [7][21] - U.S. revenue grew by 10.6%, driven by Hazardous Waste, while Latin America saw a 28% increase [23] Company Strategy and Development Direction - The merger with Suez is yielding synergies ahead of schedule, with €230 million achieved so far, targeting €500 million in total [3][14] - The company aims to leverage its unique positioning in ecological transformation to drive growth, particularly in water scarcity solutions [4][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining strong results for the second half of the year, supported by a balanced geographical mix and operational efficiency [4][43] - The company confirmed its annual guidance, now targeting the upper range of 5% to 7% EBITDA growth [18][40] Other Important Information - The company achieved €187 million in efficiency gains in H1, ahead of the annual target of €350 million [14][34] - ESG initiatives are central to the business model, with commitments to sustainable water management and carbon reduction [16][17] Q&A Session Summary Question: Guidance assumptions for the second half of the year - Management highlighted strong foundations, a good geographical mix, and continued operational efficiency as key assumptions for guidance [43][44] Question: Optimism not translating to net income - Management indicated that they are comfortable with consensus estimates for net income, which reflects specific financial costs and one-off items [47][48] Question: Outlook for waste volume growth - Management noted flat waste volumes in H1 and no significant changes expected for the remainder of the year, with strong performance despite stable volumes [60] Question: Sustainability of Hazardous Waste pricing - Management expressed confidence in the sustainability of pricing increases in Hazardous Waste, which have been strong since 2021 [61] Question: Synergies and potential for increased net income - Management confirmed that they are on track to exceed synergy targets and are optimistic about achieving higher net income if synergies continue to be realized [59][63] Question: Impact of government plans on operations - Management clarified that there is no read-across for Veolia from government plans affecting toll-road operators, as their operations are not similar [65]

Financial Highlights - Veolia reported strong Q1 2023 revenue growth of +19.9% to €12.007 billion[7, 8], or +6.3% excluding energy prices[7] - The company's EBITDA increased by +8.0% to €1.574 billion[8] - Current EBIT was up +14.0% to €788 million[8] - Net financial debt was €18.7 billion[8] Synergies and Efficiency - Veolia achieved €43 million in synergies in Q1 2023, with a cumulative €189 million since day 1[8], and is on track to exceed €280 million by the end of 2023[3] - Efficiency gains of €87 million were realized in Q1 2023, aligning with the annual target of €350 million[3, 8] Segment Performance - Water revenue reached €4.270 billion, up +9.9% at constant scope and FX[32] - Waste revenue was €3.603 billion, up +3.2% at constant scope and FX, or +5.7% excluding recyclate prices[35] - Energy revenue surged to €4.133 billion, showing an organic growth of +54%[38] Guidance and Outlook - Veolia fully confirmed its 2023 guidance, expecting solid organic revenue growth and EBITDA organic growth between +5% to +7%[24] - The company anticipates a current net income of around €1.3 billion, a double-digit increase compared to 2022[24]

Veolia Environnement SA (OTCPK:VEOEY) Q1 2023 Earnings Conference Call May 4, 2023 2:30 AM ET Company Participants Estelle Brachlianoff - CEO & Director Claude Laruelle - Deputy CEO, Finance, Digital & Purchasing Conference Call Participants Ajay Patel - Goldman Sachs Group Arthur Sitbon - Morgan Stanley Michael Harleaux - Societe Generale Andrew Fisher - Berenberg Arnaud Palliez - CIC Market Solutions Olly Jeffery - Deutsche Bank Operator Ladies and gentlemen, welcome to the Veolia conference call on the F ...

FY 2022 RESULTS Estelle Brachlianoff CEO Claude Laruelle CFO 1 DISCLAIMER Veolia Environnement is a corporation listed on the Euronext Paris. This document contains "forward-looking statements" within the meaning of the provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are not guarantees of future performance. Actual results may differ materially from the forward-looking statements as a result of a number of risks and uncertainties, many of which are ou ...

Veolia Environnement S.A. (OTCPK:VEOEY) Q4 2022 Earnings Conference Call March 2, 2023 2:00 AM ET Company Participants Estelle Brachlianoff - CEO Claude Laruelle - CFO Conference Call Participants Michael Gallo - Societe Generale Arnaud Palliez - CIC Market Solutions Arthur Sitbon - Morgan Stanley Operator Ladies and gentlemen, welcome to the Veolia Conference Call on Full Year 2022 Result with Estelle Brachlianoff, CEO; Claude Laruelle, CFO. I now hand over to Estelle Brachlianoff. Madam, please go ahead. ...

Financial Data and Key Metrics Changes - Q3 revenue reached approximately €9.2 billion, representing a 13.7% increase at constant scope and perimeter, following a 12.9% increase in the previous quarter [6]. Business Line Data and Key Metrics Changes - The integration of SUEZ is progressing well, with the company ahead of planned synergies as of the end of September [3]. Market Data and Key Metrics Changes - The combined financial performance of Veolia and SUEZ reflects significant perimeter effects from the first consolidation of SUEZ activities [5]. Company Strategy and Development Direction - The company aims to become the anticipated global leader in ecological transformation, focusing on solutions for global resource scarcity and pollution treatment [4]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the full-year results for 2022, citing strong nine-month results and Q3 performance as evidence of the resilience of the business model [2]. Other Important Information - The company employs 220,000 individuals who share the ambition to lead in ecological transformation [4]. Q&A Session Summary - No specific questions and answers were provided in the content.