Suez Environnement commits to renewed growth in 2010

Suez Environnement’s shares beat a falling CAC 40 on the back of solid full-year results today, which showed revenues up by 0.6% to €12.3 billion. Despite a higher than expected contribution from the Compass cost-cutting programme, however, a poor performance in the waste division led to a 1.2% drop in EBITDA to €2.06 billion.

The company stressed its commitment to return to growth in 2010, setting minimum growth targets of 5% and 8% for revenues and EBITDA, respectively. It also re-iterated its commitment to maintaining higher free cash flow of at least €700 million in 2010, whilst initiating a new cost optimisation plan aimed at saving €250 million between 2010 and 2012.

Revenues in the company’s Water Europe division rose by 4% to €3.99 billion, while the International division’s sales were up 7.2% at €2.97 billion. Waste Europe was down 5% at €5.32 billion (all values are at constant forex).