Veolia Environnement Q1 Profit Down; Confirms Outlook - Quick Facts

(RTTNews) - French resource management firm Veolia Environnement (VE) reported Wednesday that its first-quarter current net income declined 18.4 percent to 173 million euros from 212 million euros last year.

Excluding capital gains, current net income increased 16% to 170 milion euros.

EBITDA, a key earnings metric, increased 3% to 840 million euros.

Revenue declined 3.4% to 6.09 billion euros from last year's 6.31 billion euros mainly due to the impact of lower energy prices, and its intent to accelerate the recovery in construction business. Revenues dropped 1.7% at constant consolidation scope and exchange rates.

Excluding construction revenue and the impact of the decline in energy prices, revenue increased by 1.6% at constant consolidation scope and exchange rates.

Following the satisfactory start to 2016, the company confirmed its outlook.

For fiscal 2016, the company expects revenue and EBITDA growth and current net income of at least 600 million euros.

For fiscal 2018, the company expects current net income greater than 800 million euros.

For 2016-2018 period, the company expects a progressive increase in revenue growth to achieve average annual revenue growth between 2% and 3%, based on the current economic environment, and average annual EBITDA growth of around 5% per year.