French environmental services group Veolia posted a net profit of €1.098bn in 2024, marking a 17.1% increase compared to the previous year. This result is attributed to the implementation of its GreenUp strategic plan, which focuses the company’s portfolio on higher-value-added technologies. At the same time, Veolia’s revenue fell by 1.45%, reaching €44.7bn, due to the decline in energy prices and the divestment of its subsidiary Sade, which specialises in civil engineering.
Sustained Organic Growth
Despite the overall decline in revenue, Veolia reported a 5% organic growth at constant scope. Chief Executive Officer Estelle Brachlianoff described the results as “historic,” despite macroeconomic and geopolitical challenges. The development of strategic segments, referred to by the company as “growth boosters,” contributed to this momentum with a 6.6% increase. These activities include hazardous waste management, water technologies, and local energy solutions.
International Expansion and New Contracts
Veolia’s regional performance was mixed. Latin America (+10.9%), Africa and the Middle East (+6.1%), and the Pacific (+7.7%) saw notable increases. However, revenue in Europe outside France declined by 3.6%, primarily due to the fall in energy prices. In France, the company secured a 4.5% increase in water treatment tariffs, despite budget constraints affecting local governments.
A major contract in Australia illustrates the company’s international expansion strategy. Veolia won a project worth AUD850m (approximately €511m) for the construction and operation of a waste recycling facility in Canberra over a 20-year period. This infrastructure, powered by a solar system, will recycle 1.3 million tonnes of materials.
Increased Dividends and Share Buybac
Building on these results, Veolia’s board of directors has proposed a 12% increase in dividends, bringing them to €1.40 per share. At the same time, a share buyback programme is planned for the 2025-2027 period to offset the effects of employee stock ownership plans and avoid shareholder dilution.
The company’s debt slightly decreased, standing at €17.8bn. For 2025, Veolia is targeting “solid” organic revenue growth and a 5-6% increase in EBITDA. The synergy target from its merger with Suez has been raised to €530m by the end of 2025.
