Veolia Environnement SA · EURONEXT:VIE
Veolia Environnement SA — FY2020 Earnings Presentation
16 slides from Veolia Environnement SA's earnings presentation, May 9, 2021
Slide 1: 2020 Annual Results
2020 Annual Results Claude Laruelle, CFO
Slide 2: An Exceptional and Historical Year for Veolia
2020 AN EXCEPTIONAL AND HISTORICAL YEAR FOR VEOLIA 1. Absolute priority given to health and safety of all our employees and clients 2. Continued providing of all our essential services at the peak of the crisis and strong resilience of most of our businesses 3. Sharp rebound of the most impacted act
Slide 3: 2020 Results Ahead of Target
2020 RESULTS AHEAD OF TARGET Q4 Results ahead of objective : after a strong rebound in Q3, Q4 2020 above Q4, 2019 despite 2nd wave of COVID in Europe, thanks to our resilient business model and our adaptation measures Q4 performance(1) Q3 performance(1) Revenue +0.9% -0.6% EBITDA +4.2% +1.7% Solid F
Slide 4: After the Covid Outbreak, Q3 Rebound Continued in Q4
AFTER THE COVID OUTBREAK, Q3 REBOUND CONTINUED IN Q4 Q4 REVENUE UP +0.9% AND Q4 EBITDA UP +4.2% AT CONSTANT FX 2019 2020 Revenue growth at constant FX Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 France +2.8% +5.0% +0.5% +0.1% -3.1% -16.1% +0.8% +2.5% Europe excl. France +4.7% +7.2% +4.1% +1.1% +1.1% -6.7% +0.8% +5.3% R
Slide 5: Revenue of €26,010M, -2.5% at Constant Scope and FX: Analysis by Segment
REVENUE OF €26 010M, -2.5% AT CONSTANT SCOPE AND FX ANALYSIS BY SEGMENT 27 189 In €M 26 010 4 734 4 444 ∆ ∆ 7 325 At constant scope 6 760 Variations vs.2019 Variation At constant FX and FX Global business -6.1% -5.3% -5.2% Rest of the World -7.7% -4.5% -1.7% Europe excl. France -0.9% +0.4% -0.8% 9 5
Slide 6: Revenue of €26,010M, -2.5% at Constant Scope and FX: Analysis by Business
REVENUE OF €26 010M, -2.5% AT CONSTANT SCOPE AND FX ANALYSIS BY BUSINESS In 27 189 €M 26 010 5 880 5 437 ∆ ∆ Variations vs. 2019 Variation At constant At constant FX scope and FX Energy -7.5% -5.8% -2.0% 10 167 9 673 Waste -4.9% -3.2% -4.1% Water -2.0% -1.0% -1.5% Technology & Construction -2.7% -1.
Slide 7: EBITDA of €3,641M, -7.1% at Constant Scope and Forex
EBITDA OF €3 641M, -7.1% AT CONSTANT SCOPE AND FOREX in €M 4 022* 396 3 641* 324 ∆ ∆ 1 162 Variations vs.2019 Variation At constant At constant scope 942 FX and FX Global business -18.1% -18.1% -17.3% Rest of the World -18.9% -16.0% -10.1% Europe excl. France -6.5% +4.9% -7.2% 1 501 1 404 -5.8% -5,8
Slide 8: Cost Cutting Plan More Than Doubled
COST CUTTING PLAN MORE THAN DOUBLED €550M ACHIEVED IN 2020 1.Recurring Efficiency program 2. Recover & Adapt Plan TOTAL 2020 COST €278M €272M CUTTING €550M Leverage from acceleration of our digital roadmap ● Procurement : opportunities seized ● Maintenance adapted to reduced activity ● G&A : travel
Slide 9: Solid Financials: Better Than Expected FCF, Including Increased Discretionary Growth Capex
SOLID FINANCIALS :BETTER THAN EXPECTED FCF, INCLUDING INCREASED DISCRETIONARY GROWTH CAPEX Net Capex 2 151 2 201 (in €M) 362 435 Discretionary growth 729 capex Net industrial Capex of €2 151M, vs. €2 201M 691 Optimization of maintenance capex down 8% to €1 025M Contractual growth Growth contractual
Slide 10: Progressive Recovery of Our Pre-Crisis Dividend Policy
PROGRESSIVE RECOVERY OF OUR PRE-CRISIS DIVIDEND POLICY: DIVIDEND 2021 OF €0.70, AFTER €0.50 IN 2020 Dividend 2019 : given the exceptional circumstances, 2019 dividend was reduced to €0.50 per share Dividend 2020: Veolia’s rebound since H2 2020 as well as the prospects of strong results growth in 202
Slide 11: Continued Improvement of Our ESG Performance in 2020
CONTINUED IMPROVEMENT OF OUR ESG PERFORMANCE IN 2020 Highlights on 4 objectives (other than economic and financial) Clients Planet Employees Society Customer and Combating climate Employee commitment Access to essential services Objective consumer satisfaction change (water and sanitation) Progress
Slide 12: 2021 Guidance
2021 GUIDANCE Despite expected continued impact of COVID beginning of 2021 VEOLIA will more than offset 2020 and deliver strong results growth in 2021 Revenue : above 2019 level EBITDA growth(1) >+10% vs. 2020 : 2021 EBITDA expected above €4bn Recovery of operating leverage €350M of cost cutting : €
Slide 13: Medium Term Outlook: Our Strategic Choices Remain Valid (1/2)
MEDIUM TERM OUTLOOK OUR STRATEGIC CHOICES REMAIN VALID (1/2) 1. Accelerate 2. Optimize 3. Reduce ● Optimization of our existing portfolio and ● Activities with insufficient growth repositioning of our offering prospects ● Seize new opportunities in some countries WATER BARREL/ Aquavista Sale of SADE
Slide 14: Medium Term Outlook: Our Strategic Choices Remain Valid (2/2)
MEDIUM TERM OUTLOOK OUR STRATEGIC CHOICES REMAIN VALID (2/2) ❑ Guidance 2021(1): Back to pre-crisis performance with Revenue and EBITDA above 2019 ❑ Medium term guidance The strategic choices included in Impact 2023 remains fully relevant. The strategic plan Impact 2023 financial targets to be rough
Slide 15: Stock Performance Since January 2021
STOCK PERFORMANCE SINCE JANUARY 2021 Veolia : +11% CAC40 : +10% Utilities Index: 0% AG 2021 15
Slide 16: Contacts
CONTACTS Relations investisseurs et analystes Relations presse Ronald Wasylec Directeur Financier adjoint, Directeur des Relations investisseurs Laurent Obadia Téléphone : +33 1 85 57 84 76 Téléphone : +33 1 85 57 89 43 e-mail : ronald.wasylec@veolia.com e-mail: laurent.obadia.@veolia.com Ariane de