Séché Environnement (SCHP) H2 2024 earnings summary

Executive summary

• Achieved 2024 revenue of €1,110.4m, exceeding targets and confirming the growth strategy's resilience, with EBITDA up 11.3% to €242.3m and strong H2 performance offsetting H1 delays and energy price normalization.

• Strengthened positions in France and internationally, notably with the acquisition of ECO in Singapore, expanding hazardous waste management and increasing international revenue share from 26% to 32%.

• Maintained robust performance in sustainable development and green transition markets, with 67% of revenue aligned with the EU Green Taxonomy.

• Achieved 2025 greenhouse gas emissions reduction target in 2024 for the second consecutive year.

Financial highlights

• Contributed revenue rose 9.6% year-over-year to €1,110.4m; EBITDA increased to €242.3m (margin up to 21.8%); net income group share: €35.5m; EPS: €4.57; proposed dividend at €1.20 per share.

• Operating free cash flow grew 10.2% to €111.5m; recurring operating cash flow strong at €206.4m; financial leverage at 3.2x EBITDA.

• CapEx at €93.8m (6.7% of revenue), with strong liquidity of €356.7m; capex reduced to €79.4m (7.2% of revenue) in some reports.

• Net financial debt increased to €849.7m, mainly due to acquisitions; average cost of debt stable at 3.52%.

Outlook and guidance

• 2025 revenue targeted at €1,180m (+6%), EBITDA at €265–275m, and operating margin improvement of ~1 ppt; 2026 revenue expected at €1,240m (+5%), EBITDA at €290–300m.

• Financial leverage to be reduced below 3x EBITDA by 2025 and maintained below this level in 2026.

• Organic growth guidance for 2025 set at 2.5%, with no major shifts in market trends anticipated.

• Full-year accretive effect from ECO acquisition expected in 2025; strict financial discipline and capex control maintained.