Veolia Environnement Sa · EURONEXT:VIE
Veolia Environnement Sa — Shareholder Meeting (April 2020)
43 slides from Veolia Environnement Sa's shareholder meeting presentation, Apr 22, 2020
Slide 1: General Meeting of Shareholders
GENERAL MEETING OF SHAREHOLDERS April 22, 2020
Slide 2: Annual Results 2019
ANNUAL RESULTS 2019 Claude Laruelle Chief Financial Officer
Slide 3: 2019: Another Year of Solid and Profitable Growth
2019: ANOTHER YEAR OF SOLID AND PROFITABLE GROWTH WITH RESULTS ABOVE EXPECTATIONS • STRONG REVENUE GROWTH: +4.3% AT CONSTANT FOREX TO €27,189M • RESULTATS ABOVE GUIDANCE • ANOTHER PROGRESSION OF THE GROUP’S RETURN ON CAPITAL EMPLOYED • STRONG NET FREE CASH FLOW GROWTH, TO €868M • A VERY SOLID BALANC
Slide 4: 2019: Continued Strong Revenue and Profits Growth
2019: CONTINUED STRONG REVEVENUE AND PROFITS GROWTH In €M 2018 At constant FX 2019 represented(1) vs. 2018 represented Revenue 25,951 27,189 +4.8%(2) +4.3%(2) EBITDA 3,843 4,022 +4.7% +4.5% Current EBIT(3) 1,644 1,730 +5.3% +5.0% Current net income- Group share 672 760 +13.1% +13.5% Net income-
Slide 5: Revenue by Geography
REVENUE BY GEOGRAPHY: SOLID IN FRANCE, ACCELERATION OUTSIDE FRANCE 27,189* In €M 25,951* 4,734 4,666 Variations vs. 2018 Variation At constant represented FX 7,303 Global business +1.5% +0.9% 6,620 Rest of the World +10.3% +8.7% Europe excl. France +4.0% +4.1% 9,136 9,501 France +2.0% +2.0% TOTAL
Slide 6: Revenue by Business
REVENUE BY BUSINESS: CONTINUED GOOD COMMERCIAL MOMENTUM IN ALL OUR ACTIVITIES 27,189 In €M 25,951 5,880 5,459 Variations vs. 2018 Variation At constant represented FX Energy +7.7% +7.5% 9,599 10,167 Waste +5.9% +5.9% Water & Wastewater +3.3% +2.2% Technology & Construction -0.6% -1.2% 8,053 8,320
Slide 7: EBITDA Up 4.5% at Constant Forex
EBITDA UP 4.5% AT CONSTANT FOREX CONTINUED IMPROVEMENT IN OUR OPERATIONAL PERFORMANCES In €M 4,022* 3,843* 396 361 Variations vs. 2018 Variation At constant represented FX 1,062 1,161 Global business +9.8% +10.6% Rest of the World +9.2% +8.2% Europe excl. France +2.0% +2.1% 1,472 1,501 France +0.0
Slide 8: Sustained Pace of Cost Savings
SUSTAINED PACE OF COST SAVINGS: €248M ACHIEVED IN 2019 AHEAD OF ANNUAL OBJECTIVE OF €220M SAVINGS BY GEOGRAPHY SAVINGS BY LEVER 2% 11% France 14% 28% 29% Purchasing Europe excl. France 28% Rest of the World Operations Global Businesses G&A 30% 57% HQ €1,050M CUMULATED COST SAVINGS ACHIEVED FROM 2016
Slide 9: Strong Growth in Current Results
STRONG GROWTH IN CURRENT RESULTS CURRENT EBIT (IN €M) CURRENT NET INCOME (IN €M) +5.0% at constant Forex +13.5% at constant Forex +8.8% excl. Capital gains 1,730 760 1,644 672 2018 represented 2019 2018 represented 2019
Slide 10: 2016-2019: Significant Value Creation
2016-2019: SIGNIFICANT VALUE CREATION STRONG INCREASE IN ROCE FROM 2016-2019 2019 after tax Capital employed 9.0% ROCE 8.8% in €bn 8.3% including IFRS 16 15.9 15.8 15.8 16.2 8.4% ROCE after tax 15.6 before IFRS 16 7.8% value 7.4% creation 6.3% 6.1% 5.8% 5.5% 5.3% 2015 2016 2017 2018 2019 Capital emp
Slide 11: Very Strong Net FCF of €868M
VERY STRONG NET FCF(1) OF €868M THANKS TO STRICT CAPEX AND WCR DISCIPLINE In €M 2,364 • Net industrial Capex of €2,201M, vs. €2,189M, ~flat 2,268 309 362 • Gross industrial capex of €2,364M vs. €2,268M 706 729 ✔ Stable maintenance capex :€1,273M (incl. IFRS16) Discretionary capex ✔ Stable growth con
Slide 12: Leverage Ratio of 2.66 and Strong Liquidity
A STABLE NET FINANCIAL DEBT OVER THE LAST 4 YEARS … WITH A LEVERAGE RATIO OF 2.66 END 2019 AND A VERY STRONG CASH AND LIQUIDITY POSITION ENDETTEMENT FINANCIER NET In €M Leverage ratio after 1,816 IFRS16 end 2019: 2.66 1,731 Centralized cash position end March 2020: €3.7bn 9,622 9,264 9,285 9,748 8,9
Slide 13: COVID-19 Crisis: A 2020 Dividend of €0.50
COVID 19 CRISIS: A 2020 DIVIDEND OF €0.50 Given the exceptional circumstances and in order to protect the interests of all of the Group’s stakeholders in a spirit of solidarity, proposal to pay a cash dividend of €0.50 per share +10% +5% €0.92 +10% €0.84 €0.80 €0.73 €0.50 2015 2016 2017 2018 2019 (1
Slide 14: 2020 Prospects
2020 PROSPECTS • Since the beginning of the crisis Veolia – as a provider of essential services and a partner of cities and businesses – is fully mobilized to ensure continuity of service while protecting the health of its employees, the Group’s two overriding priorities. • The situation has prompte
Slide 15: Stock Performance Since January 1st, 2019
STOCK PREFORMANCE SINCE JANUARY 1ST, 2019 PERFORMANCE SINCE 2019/01/01 VEOLIA: +4% Utilities Index: +4% CAC40: -10% SUEZ: -20%
Slide 16: Contacts
CONTACTS ANALYST & INVESTOR RELATIONS MEDIA RELATIONS Ronald Wasylec Laurent Obadia Deputy CFO, Senior Vice President, Telephone : +33 1 85 57 89 43 Investor Relations e-mail : laurent.obadia.@veolia.com Telephone : +33 1 85 57 84 76 Sandrine Guendoul e-mail : ronald.wasylec@veolia.com Telephone : +
Slide 17: Approval of the Resolutions
APPROVAL OF THE RESOLUTIONS Helman le Pas de Sécheval General Counsel
Slide 18: First Resolution
FIRST RESOLUTION Approval of the Company financial statements for fiscal year 2019 The FIRST RESOLUTION is approved with a majority of 99.92% of the recorded votes Ordinary business
Slide 19: Second Resolution
SECOND RESOLUTION Approval of the consolidated financial statements for fiscal year 2019 The SECOND RESOLUTION is approved with a majority of 99.91% of the recorded votes Ordinary business
Slide 20: Third Resolution
THIRD RESOLUTION Approval of the expenses and charges referred to in Article 39.4 of the General Tax Code The THIRD RESOLUTION is approved with a majority of 99.96% of the recorded votes Ordinary business
Slide 21: Fourth Resolution
FOURTH RESOLUTION Appropriation of net income for fiscal year 2019 and payment of the dividend The FOURTH RESOLUTION is approved with a majority of 99.60% of the recorded votes Ordinary business
Slide 22: Fifth Resolution
FIFTH RESOLUTION Approval of regulated agreements and commitments o No new regulated agreement or commitment was authorized by the Board of Directors for fiscal year 2019. The FIFTH RESOLUTION is approved with a majority of 99.79% of the recorded votes Ordinary business
Slide 23: Sixth Resolution
SIXTH RESOLUTION Renewal of the term of Mr. Jacques Aschenbroich as Director The SIXTH RESOLUTION is approved with a majority of 65.15% of the recorded votes Ordinary business
Slide 24: Seventh Resolution
SEVENTH RESOLUTION Renewal of the term of Mrs. Isabelle Courville as Director The SEVENTH RESOLUTION is approved with a majority of 97.04% of the recorded votes Ordinary business
Slide 25: Eighth Resolution
EIGHTH RESOLUTION Renewal of the term of Mrs. Nathalie Rachou as Director The EIGHTH RESOLUTION is approved with a majority of 91.49% of the recorded votes Ordinary business
Slide 26: Ninth Resolution
NINTH RESOLUTION Renewal of the term of Mr. Guillaume Texier as Director TheThe NINTH RESOLUTION NINTH RESOLUTION shall is be approved approved by a majority of % of the votes with a majority of 97.04% of the recorded votes Ordinary business
Slide 27: Tenth Resolution
TENTH RESOLUTION Vote on the compensation paid during fiscal year 2019 or awarded in respect of the same fiscal year to Mr. Antoine Frérot, as Chairman and Chief Executive Officer (“Ex post vote”) The TENTH RESOLUTION is approved with a majority of 91.57% of the recorded votes Ordinary business
Slide 28: Eleventh Resolution
ELEVENTH RESOLUTION Vote on the information relative to the 2019 compensation of the Directors (excluding the Chairman and Chief Executive Officer) as mentioned in Article L. 225-37-3, I of the French Commercial Code (“Ex post vote”) The ELEVENTH RESOLUTION is approved with a majority of 97.08% of t
Slide 29: Twelfth Resolution
TWELTH RESOLUTION Vote on the Chairman and Chief Executive Officer’s compensation policy in respect of fiscal year 2020 (“Ex ante vote”) The TWELTH RESOLUTION is approved with a majority of 90.16% of the recorded votes Ordinary business
Slide 30: Thirteenth Resolution
THIRTEENTH RESOLUTION Vote on the Directors’ compensation policy (excluding the Chairman and Chief Executive Officer) in respect of fiscal year 2020 (“Ex ante vote”) The THIRTEENTH RESOLUTION is approved with a majority of 97.72% of the recorded votes Ordinary business
Slide 31: Fourteenth Resolution
FOURTEENTH RESOLUTION Authorization to be given to the Board of Directors to deal in the Company’s shares The FOURTEENTH RESOLUTION is approved with a majority of 99.16% of the recorded votes Ordinary business
Slide 32: Fifteenth Resolution
FIFTEENTH RESOLUTION Delegation of authority to the Board of Directors to increase the share capital by issuing shares and/or securities giving access, immediately or at a later date, to share capital, with preferential subscription rights The FIFTEENTH RESOLUTION is approved with a majority of 95.9
Slide 33: Sixteenth Resolution
SIXTEENTH RESOLUTION Delegation of authority to the Board of Directors to increase the share capital by issuing shares and/or securities giving access, immediately or at a later date, to share capital, without preferential subscription rights by public offer other than the public offers mentioned in
Slide 34: Seventeenth Resolution
SEVENTEENTH RESOLUTION Delegation of authority to the Board of Directors to increase the share capital by issuing shares and/or securities giving access, immediately or at a later date, to share capital, without preferential subscription rights by public offer as provided under paragraph 1 of art. L
Slide 35: Eighteenth Resolution
EIGHTEENTH RESOLUTION Authorization granted to the Board of Directors to issue shares and/or securities giving access, immediately or at a later date, to share capital without preferential subscription rights as consideration for contributions in kind consisting of shares or securities giving access
Slide 36: Nineteenth Resolution
NINETEENTH RESOLUTION Delegation of authority to the Board of Directors to increase the number of shares to be issued in the frame of a share capital increase with or without preferential subscription rights The NINETEENTH RESOLUTION is approved with a majority of 88.53% of the recorded votes Extrao
Slide 37: Twentieth Resolution
TWENTIETH RESOLUTION Delegation of authority to the Board of Directors to increase the share capital through the incorporation of premiums, reserves, profits or any other items The TWENTIETH RESOLUTION is approved with a majority of 99.86% of the recorded votes Extraordinary business
Slide 38: Twenty-First Resolution
TWENTY-FIRST RESOLUTION Delegation of authority to the Board of Directors to increase the share capital by issuing shares and/or securities giving access to the share capital, and reserved for the members of company savings plans without preferential subscription rights The TWENTY-FIRST RESOLUTION i
Slide 39: Twenty-Second Resolution
TWENTY-SECOND RESOLUTION Delegation of authority to the Board of Directors to increase the share capital by issuing shares, and reserved for certain categories of persons without preferential subscription rights in the context of the implementation of employee share ownership plans The TWENTY-SECOND
Slide 40: Twenty-Third Resolution
TWENTY-THIRD RESOLUTION Authorization to be granted to the Board of Directors for the purpose of granting existing or newly-issued free shares to employees of the Group and corporate officers of the Company or some of them, implying waiver of the shareholders’ preferential subscription rights The TW
Slide 41: Twenty-Fourth Resolution
TWENTY-FOURTH RESOLUTION Authorization granted to the Board of Directors to reduce the share capital by the cancellation of treasury shares The TWENTY-FOURTH RESOLUTION is approved with a majority of 99.41% of the recorded votes Extraordinary business
Slide 42: Twenty-Fifth Resolution
TWENTY-FIFTH RESOLUTION Harmonization of the Articles of Association with new legal and regulatory provisions in force The TWENTY-FIFTH RESOLUTION is approved with a majority of 99.80% of the recorded votes Extraordinary business
Slide 43: Twenty-Sixth Resolution
TWENTY-SIXTH RESOLUTION Powers for formalities The TWENTY-SIXTH RESOLUTION is approved with a majority of 99.96% of the recorded votes Ordinary and Extraordinary business
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