PARIS (Reuters) – Veolia published record results for 2022 on Thursday, driven by the integration of Suez’s activities, and said it expects a further “strong” increase in its performance in 2023.

The French specialist in water and waste treatment, also present in production and energy savings, said in a press release that it was aiming for “solid” organic growth in its turnover for the current financial year. business and organic growth in earnings before interest, taxes, depreciation and amortization (Ebitda) of 5% to 7%.

Veolia also aims for 2023 net current income group share of around 1.3 billion euros, at constant exchange rates and “without widening the conflict beyond Ukrainian territory, or significant change in energy supply conditions in Europe. “, as well as growth in its dividend in line with that of current net earnings per share.

The group intends in particular to rely on cost savings of more than 350 million euros, to which will be added new synergies expected with Suez, for a cumulative amount of more than 280 million at the end of 2023, in line with a cumulative objective of 500 million. .

“The 2022 results are historic and exceptional,” Estelle Brachlianoff, the chief executive, said during a conference call.

These performances “demonstrate both our low sensitivity to the economic cycle and our ability to pass on increases in our costs in our prices”, she added.

“We are starting the 2023 financial year in very good conditions, perfectly launched for another year of strong growth.”

A year after the finalization of the acquisition by Veolia of most of the activities of its former competitor Suez, Estelle Brachlianoff also considered that the merger of the two groups was “a complete success”.

The Chief Executive Officer indicated that local energy, which the group produces in particular from waste, would continue to be an important growth driver for Veolia, as would its depollution activities and certain geographical areas such as the Middle East and the United States.

In 2022, Veolia recorded net current income group share of €1.2 billion (+29.7%) and net income group share of €716 million (+77%).

At the same time, its Ebitda stood at 6.2 billion euros (+7.2% at constant scope and exchange rates) and its turnover at 42.9 billion (+14.1% at constant scope). and constant changes).

Veolia is proposing a dividend of €1.12 per share (compared to €1.00 per share for 2021).

The group said it had made 371 million euros in savings last year and 146 million in synergies linked to the takeover of Suez, beyond its objectives of 350 million and 100 million respectively.

Estelle Brachlianoff also pointed out that Veolia’s debt ratio, of 2.9 at the end of 2022, allowed it “to have leeway to seize opportunities if they presented themselves”.

(Report Benjamin Mallet, edited by Bertrand Boucey and Kate Entringer)

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