Veolia Environnement (VIE) Q2 2024 earnings summary

Executive summary

• H1 2024 delivered strong results with revenue up 4.4% (excluding energy prices), EBITDA up 5.7%, and current net income up 15.2% year-over-year, reflecting robust operational performance and successful execution of the GreenUp strategic plan.

• Water and Waste segments posted significant growth, while Energy remained resilient despite lower energy prices.

• Over €1 billion in non-strategic asset divestitures and targeted acquisitions in priority activities contributed to value creation.

• All 2024 and GreenUp 2024-2027 objectives fully confirmed, including climate targets validated by SBTI and Moody’s.

• Veolia became the first company to receive double validation from SBTI and Moody's for its climate commitments.

Financial highlights

• Revenue reached €22,141 million, up 4.4% organically (excluding energy prices); like-for-like growth was 0.4%.

• EBITDA: €3,266 million, up 5.7% like-for-like.

• Current EBIT: €1,730 million, up 6.6%.

• Current net income Group share: €731 million, up 15.2%.

• Net income group share: €651 million, up 24.6%.

• Net financial debt: €19,891 million at June 30, 2024; leverage ratio expected below 3x by year-end.

Outlook and guidance

• 2024 guidance fully confirmed: organic revenue growth, EBITDA growth of 5–6%, current net income Group share above €1.5 billion, leverage ratio below 3x, and dividend growth in line with EPS.

• GreenUp 2024-2027 targets reaffirmed: over €8 billion EBITDA in 2027, ~10% annual net income growth, and ambitious decarbonization and regeneration goals.

• Efficiency gains above €350 million and cumulative synergies from Suez integration expected to exceed €400 million by end-2024.