Financial Data and Key Metrics Changes - Revenue reached nearly €10 billion, up 14.7% at constant scope and forex compared to combined Suez Veolia revenue in Q1 2021, driven by strong momentum across all activities [9][26] - EBITDA grew sharply by 7.6% at constant scope and forex, reported EBITDA is €1.456 billion, with a strong increase of 18% at constant scope and forex for current EBITDA [9][10][26] - Net debt stands at €21.3 billion, with expectations to achieve a leverage ratio of around three times by year-end [26][40] Business Line Data and Key Metrics Changes - Water segment showed resilience with tariff indexation compensating for volume declines in certain regions, while Water Technologies had a strong order book [13][14] - Solid waste revenue grew by 9.6%, supported by increasing recycled prices and solid volumes [14] - Hazardous waste performed well, with price increases exceeding 10% in North America and 5% in Europe [14] Market Data and Key Metrics Changes - Central and Eastern Europe generated €4.2 billion in annual turnover, largely from essential services, indicating resilience despite geopolitical tensions [18][22] - The rest of Europe segment grew by 26.8%, particularly driven by district heating business in Central Europe and Germany [29][35] - North America saw a 9% growth, with significant tariff increases in hazardous waste [36] Company Strategy and Development Direction - The merger with Suez is progressing well, with integration processes implemented at all levels, aiming for synergies of €100 million [5][16] - The company is focusing on ecological transformation and sustainable energy production, with new projects launched to reduce fossil fuel imports [11][12] - A specific plan is being rolled out to optimize energy production and find alternative sustainable energy sources [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining guidance despite economic uncertainties, with a focus on resilience in essential services [24][22] - Inflation is expected to have a neutral or slightly positive impact, with 70% of contracts indexed to inflation [19][20] - The company is prepared for potential economic slowdowns, with a portfolio that is largely resilient to GDP fluctuations [22][65] Other Important Information - The company confirmed its annual guidance, targeting organic revenue growth and EBITDA growth of 4% to 6% [24][41] - The integration of Suez is expected to yield significant efficiency gains, with €350 million targeted for the year [16][24] Q&A Session Summary Question: Inflation impact on business model - Management acknowledged a slight lag between inflation in tariffs and cost increases, expecting this to continue but not to the same extent as in Q1 [44][47] Question: Net debt and working capital effects - Additional working capital was attributed to energy price increases and Suez integration, with expectations to reverse this by year-end [53][57] Question: CMA discussions in the UK - The timeline for CMA discussions is on track, with a finalized position expected by the end of July [59][60] Question: Capital gains from Australia - The net capital gain from Australia is around €30 million, with business performance being the main driver for current net income [63][66] Question: Revenue growth exposure to macro conditions - Approximately €7 billion of annual turnover is exposed to potential GDP slowdown, but the majority of the business remains resilient [65][66]

Financial Data and Key Metrics Changes - Revenue for 2021 reached €28.5 billion, an increase of 9.6% at constant rates compared to 2020 and 6.5% compared to 2019 [19][20] - EBITDA grew by 16% compared to 2020 and by 6.9% compared to 2019, reaching €4.234 billion, exceeding the guidance of €4.1 billion [20][23] - Current net income more than doubled versus 2020 and increased by 21% compared to 2019, reaching nearly €900 million [23][24] - Net financial debt decreased by €3.5 billion to €9.5 billion at year-end 2021, supported by a €2.5 billion capital increase and strong free cash flow generation of over €1.2 billion [23][24] Business Line Data and Key Metrics Changes - Hazardous waste revenue grew by 25% in Q4, partly due to the integration of Osis [25] - Waste activities grew by 15.5% year-on-year, with a strong contribution from volumes and recyclate prices [86] - Energy efficiency activities showed strong growth, particularly in Spain, Italy, and the Middle East, aided by rising energy prices [38] Market Data and Key Metrics Changes - Revenue growth in the fourth quarter was above 10%, driven by energy prices and strong sales activity [24][25] - The Rest of Europe segment experienced outstanding growth of almost 20% in Q4, particularly in Central Europe [82] - North America had a good Q4 with a revenue increase of 10.5%, while Latin America continued to grow at double-digit rates [99] Company Strategy and Development Direction - The merger with Suez is a key strategic move aimed at creating a champion of ecological transformation, with a target of €500 million in synergies by 2025 [15][70] - The company aims to maintain a strong focus on operational efficiency and cost discipline, targeting €350 million in efficiency measures for 2022 [47][71] - The company is committed to ecological transformation and plans to invest in innovative solutions such as battery recycling and biogas production [56][68] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in 2022 despite geopolitical challenges, targeting solid organic revenue growth [71][74] - The company anticipates a positive impact from inflation on revenues due to indexed contracts and price increases [40][41] - Management highlighted the resilience of essential services provided, particularly in Eastern Europe, amidst the ongoing crisis [49][52] Other Important Information - The company reported a high level of employee engagement at 87% and a Net Promoter Score of 43, indicating strong customer satisfaction [59] - The company is committed to exiting coal by 2030 and investing in decarbonization efforts [67] Q&A Session All Questions and Answers Question: Inflation protection within revenues - The company indicated that 70% of total turnover is directly indexed to inflation, while the remaining 30% involves annual price increases [118][119] Question: Regulatory risks around energy costs for end consumers - Management acknowledged the potential regulatory risks associated with higher energy costs but emphasized the resilience of their essential services [118][119]

Financial Data and Key Metrics Changes - The company reported record results for the nine months, indicating strong financial performance [2] - A €2.5 billion rights issue was successfully launched and closed, with a take-up rate nearly double the targeted amount, reflecting strong support from existing shareholders [4] Business Line Data and Key Metrics Changes - The acquisition of Suez is a significant focus, with the company preparing for integration and finalizing the deal [3] Market Data and Key Metrics Changes - The company is in the process of selling some assets, primarily in France, to a consortium for €10.4 billion as part of the Suez acquisition [3] Company Strategy and Development Direction - The company is close to finalizing the acquisition of Suez, which is expected to enhance its market position and operational capabilities [3] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the successful completion of the Suez acquisition and highlighted the positive reception of the rights issue by shareholders [4] Other Important Information - The company is actively working on financing the acquisition, navigating the antitrust process, and preparing for the integration of Suez [3] Q&A Session Summary - No specific questions and answers were provided in the available content.

Veolia Environnement S.A. (OTCPK:VEOEY) Q2 2021 Earnings Conference Call July 29, 2021 2:30 AM ET Company Participants Antoine Frérot - Chairman & Chief Executive Officer Estelle Brachlianoff - Chief Operating Officer Claude Laruelle - Chief Financial Officer Conference Call Participants Andrew Fisher - Berenberg Philippe Ourpatian - ODDO BHF Antoine Frérot Thank you and good morning ladies and gentlemen and thank you for attending this conference call on Veolia's First Half 2021 Results. I am this morning ...

Financial Data and Key Metrics Changes - Q1 2021 revenue reached EUR6.807 billion, a 4% increase compared to Q1 2020, while EBITDA totaled EUR1.078 billion, up 13.6% due to operating leverage and efficiency gains [13][28] - Compared to Q1 2019, revenue grew by 2.8% at constant forex, and EBITDA increased by 7.5% at constant forex, indicating a recovery above pre-crisis levels [14] Business Line Data and Key Metrics Changes - Municipal water showed resilience, benefiting from cold winter conditions, while solid waste adapted to volatile C&I volumes, with efficiency measures and price increases driving performance [17] - Hazardous waste volumes increased, with seven new facilities under construction across various regions [18] - Onsite services for the automotive and oil and gas industries have not fully recovered but showed strong rebounds [19] Market Data and Key Metrics Changes - Revenue growth in North America is expected to increase by 50%, while Latin America is projected to double, and Australia is anticipated to grow by 60% due to the merger with Suez [9] - The UK and Spain are expected to see significant revenue growth, although overall growth in Europe is more moderate [9] Company Strategy and Development Direction - The acquisition of Suez assets aims to create a leader in ecological transformation, with expected synergies of EUR500 million and double-digit EPS accretion starting in 2022 [6][8] - The company plans to maintain a net debt to EBITDA ratio below three times post-acquisition, with financing largely through asset divestitures and a capital increase of EUR2 billion to EUR2.5 billion [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving annual targets, with expectations for revenue and EBITDA to exceed 2019 levels, targeting over EUR4 billion in EBITDA for 2021 [26][28] - The company remains optimistic about the recovery trajectory, driven by strong operational performance and efficiency measures [14][22] Other Important Information - The company achieved EUR92 million in efficiency gains in Q1, on track to meet the annual target of EUR350 million [13][22] - Free cash flow generation improved by EUR468 million compared to the previous year, with a focus on cash management and lower CapEx spending [28][43] Q&A Session Summary Question: Update on CapEx plans for the full year - The company expects CapEx of around EUR2.3 billion for the full year, focusing on discretionary spending in hazardous waste and energy transition projects [52] Question: Explanation of PFI contracts in the UK - PFI contracts provide resilience to EBITDA despite lower volumes, as the company shares volume and price effects with customers [54][56] Question: Potential market size in Japan post-merger - Japan is seen as a significant growth area, with current turnover exceeding EUR600 million, and the company aims to expand its presence in water and waste services [57] Question: Air quality service offerings - There is increasing awareness among public authorities regarding air quality, leading to more tenders for air quality services, particularly in schools and public spaces [58] Question: Details on operational efficiencies contributing to EBITDA - Operational efficiencies include improved performance in hazardous waste and incineration activities, contributing positively to EBITDA despite volume declines [104]

Financial Data and Key Metrics Changes - Q3 2020 revenue reached €6.3 billion, comparable to last year at constant scope and Forex, with EBITDA of €893 million, up 2.5% at constant scope and Forex, and current net income of €142 million, up 10.6% [35][36][54] - Q3 EBITDA and current EBIT exceeded Q3 2019 levels, with EBITDA at 102.5% and current EBIT at 104.3% at constant scope and Forex [14][16] - Net financial debt decreased by over €700 million compared to Q3 last year, standing at €11.7 billion [36][52] Business Line Data and Key Metrics Changes - Municipal water volumes were strong, with cash collection holding up well [24] - Construction activities saw a significant rebound, with a notable catch-up effect in France [25] - Solid waste collection remained resilient, although commercial waste volumes were impacted by lockdown measures [26] - Hazardous waste business showed resilience, with volumes in Europe and the U.S. recovering, and China performing better than expected [27][42] Market Data and Key Metrics Changes - France experienced a sharp revenue rebound in Q3, with a 0.8% increase, driven by strong waste volumes and pricing discipline [37][45] - Central and Eastern Europe showed resilience, benefiting from waste recovery [37][46] - The Rest of the World saw a decline of 6% in revenue, primarily due to the disposal of district heating in the U.S. [37] Company Strategy and Development Direction - The acquisition of Suez is aimed at creating a world champion for green transformation, with a focus on environmental solutions [4][5] - The strategic plans of Veolia and Suez are aligned, with shared resources expected to accelerate growth and innovation [6][32] - The company is maintaining all development and innovation projects to secure future growth [15][18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving Q4 performance equivalent to Q4 2019, despite new COVID-19 restrictions [60][61] - The second wave of COVID-19 is expected to have a limited impact on operations compared to the first wave, with most activities running normally [30][69] - The company anticipates a strong recovery in 2021, comparable to 2019 levels [60][66] Other Important Information - A €2 billion hybrid bond was issued to secure financing for the acquisition of Suez [10] - The company achieved €395 million in savings in the first nine months, with a target of €500 million for the year [15][28] Q&A Session Summary Question: Q3 performance and outlook for 2021 - Management confirmed that Q3 was better than expected and reiterated the outlook for Q4, indicating confidence in recovering full underlying performance in 2021 [60][61] Question: Waste volumes and backlog activity - Waste volumes decreased by 2.6% in Q3, but this was an improvement from the nearly 15% drop in Q2, with strong performance in France and China [67][68] - Construction activities are ongoing, with a strong backlog in the order book [66][84] Question: Impact of new lockdowns on business - The second lockdown is expected to have a limited impact, with operations continuing normally and only minor effects anticipated on commercial waste volumes [69] Question: Dividend expectations - Management indicated it is too early to provide guidance on dividends, but better revenue performance would lead to higher dividends [92] Question: Suez acquisition and legal considerations - Management acknowledged the complexities surrounding the acquisition of Suez and the need to navigate legal and regulatory challenges [74][78]

Financial Data and Key Metrics Changes - Revenue in H1 2020 decreased by 5.6% at constant scope and exchange rate, amounting to a decline of €912 million, with only a €88 million drop in June [6][32] - EBITDA fell by 17% in H1, a decrease of €403 million, but only €27 million in June [6][32] - Current net income for H1 was €7 million, indicating a significant drop compared to previous periods [6][32] - Free cash flow decreased by only €40 million compared to H1 2019, and net financial debt was reduced by €600 million to €11.8 billion [7][60] Business Line Data and Key Metrics Changes - Municipal water activities showed resilience with stable volumes, while construction activities were heavily impacted by lockdowns but rebounded strongly in June [17][18] - Solid waste collection faced significant declines in commercial and industrial waste but recovered rapidly, with France and Germany returning to 100% activity levels by June [19][20] - Hazardous waste revenue was down by only 3.5% in H1, with EBITDA margins maintained above 15% [21][24] Market Data and Key Metrics Changes - Japan experienced an 8.8% revenue growth due to strong municipal water business, while other regions like the U.S. saw a slight decline of 1.6% [16] - France was the hardest hit market due to strict lockdowns but showed a vigorous rebound in June [16] - Overall, the rest of Europe, Africa, and the Middle East experienced slight revenue declines between 1% and 2% [16] Company Strategy and Development Direction - The company aims to recover its 2019 operational performance by Q4 2020, contingent on the absence of a second COVID wave [27][28] - The "Impact 2023" strategic program remains relevant, focusing on ecological transformation and benefiting from stimulus packages in various geographies [28][29] - The company plans to maintain development CapEx to support growth in the coming years, despite reducing overall CapEx by €500 million in 2020 [10][28] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about recovering operational performance by Q4 2020, with a strong rebound in June [27][28] - The adaptation plan has generated €120 million in savings, allowing for an increase in the savings target for 2020 from €200 million to €250 million [9][23] - Management acknowledged the ongoing ecological emergency and the importance of maintaining strategic initiatives despite the pandemic [28][29] Other Important Information - The company has a strong liquidity position with €7.9 billion in cash available, ensuring no liquidity issues [61] - The adaptation plan includes both one-off initiatives and sustainable measures, with an estimated one-third of savings expected to be recurring [24][26] Q&A Session Summary Question: What are the assumptions regarding the year-end performance? - Management anticipates a few percent points of activity may still be missing at year-end but aims to compensate through cost-cutting and new projects [66][69] Question: What is the expected impact of COVID-related losses in Q3? - Anticipated COVID-related losses for Q3 are expected to be a couple of dozen million per month, similar to June [73][75] Question: How is the working capital expected to evolve in the second half? - Management expects a reversal of working capital at the end of the year, consistent with past trends [88] Question: What is the outlook for M&A activity? - The company plans to continue its tuck-in acquisition strategy, leveraging its strong cash position [105][107] Question: How comfortable is management with the consensus EBITDA forecast? - Management finds the consensus of €3.6 billion EBITDA for the full year to be reasonable [93][97]

July 30th, 2020 H1, 2020 Results Disclaimer 2 H1 2020 Results 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 outside our co ...

Financial Data and Key Metrics Changes - Revenue increased by 5% over the first nine months of 2019, with Q3 benefiting from good water and waste volumes [4][5] - EBITDA grew by 5.1%, while EBIT progressed by 5.5% over the nine months, and current net income rose by 7.5% to €486 million [5][11] - Net debt remained stable at €12.5 billion despite €230 million of financial investment in Q3 [11][23] Business Line Data and Key Metrics Changes - Water revenue in France showed a 2.7% increase over nine months, while waste activities experienced a slight decline due to contracted activity and low recycled paper prices [5][12] - Waste activities grew by 7.1%, driven by volume increases and price indexation across various geographies [15][19] - The international segment saw a 9% revenue growth in Q3, with strong performance in Asia and Latin America [12][20] Market Data and Key Metrics Changes - France's revenue growth was 2.7%, while the Rest of Europe grew by 5.3%, with Central Europe at 6% and the U.K. at 4.5% [5][12] - The Rest of the World experienced an 8.2% revenue increase, with Asia growing by 12% and Latin America by 21% [5][20] - The U.K. and Southern Europe showed double-digit growth, particularly in waste activities [19] Company Strategy and Development Direction - The company focuses on high-potential and fast-growing activities while downsizing competitive or low-margin businesses [6][7] - The strategy emphasizes strong organic growth and cost efficiency, with €185 million in cost savings achieved over nine months [8][9] - A new strategic program for 2020-2023 is being prepared, to be presented in February 2020 [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining profitability despite challenges in revenue growth, particularly in France [30][31] - The company aims to increase profitability by focusing on high-margin activities and reducing exposure to low-margin municipal collection [32][56] - Management noted ongoing competitive pressures, particularly in construction and municipal waste collection, while highlighting opportunities in specialized waste and recycling [54][56] Other Important Information - The company expects net debt to be around €11 billion by year-end, factoring in asset disposals and acquisitions [24] - Significant improvements in free cash flow were noted, with €300 million better than Q2 and €100 million better than Q3 last year [23] Q&A Session Summary Question: Regarding lower works from Global Businesses and waste volume - Management confirmed that the selective policy in construction and waste activities is intentional, focusing on higher-value contracts [26][27] Question: Trends in France's revenue growth - Management indicated that the trend in French Water will remain stable, with no major changes expected in waste activities [30][31] Question: Reasons for EBITDA decline in waste activities - The decline is attributed to selectivity in revenue and a negative impact from recyclate prices [37] Question: Pricing pressure on EBITDA - Management explained that pricing pressure arises from labor cost increases and competitive pressures, necessitating efficiency gains [41][42] Question: Investment in plastic treatment capacity - Management confirmed ongoing investments in high-quality plastic recycling activities [47] Question: Maintenance CapEx increase - The increase in maintenance CapEx was due to the phasing of maintenance equipment, not a significant concern [49] Question: Competitive environment and plant utilization - Management noted varying competition levels across segments, with some areas facing increased pressure while others remain less competitive [52][56] Question: Future strategic plan focus - Management indicated that the upcoming strategic plan will build on lessons learned and market opportunities identified [59] Question: Sustainability of cost-cutting measures - Management affirmed that cost-cutting is now part of the company's DNA and will continue to be a key element of the business model [60][61] Question: Asset rotations - Management acknowledged the potential for asset rotations to focus on more profitable businesses, although not driven by immediate deleveraging needs [62]

Key Figures for the period ending September 30, 2019 7th of November 2019 Disclaimer Veolia Environnement is a corporation listed on the Euronext Paris. This document contains "forwardlooking 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 wh ...