Veolia: Waste Management, Water and Clean Energy Growth
Veolia says it has achieved “strong growth” in its H1 2025 results.
In the first half of 2025, Veolia’s results align with its GreenUp 2024–2027 ecological transformation objectives.
The Group's “boosters”, including water technologies, hazardous waste, bioenergies, flexibility and energy efficiency, achieved almost 9% growth.
Investment in ecological transformation
Veolia’s has allocated €2.2bn (US$2.5bn) net financial investments in H1 2025.
Revenue rose by 3.8% excluding energy prices, reaching €22.048m (US$25.67m), with organic EBITDA growth of 5.5% to €3.37bn (US$3.92bn).
This growth, it says, was fuelled by operational efficiency gains of €191m (US$222m) and €47m (US$54.7m) in synergies, part of a targeted €530m (US$617.2m) goal by year-end.
This included acquiring the remaining 30% of Water Technologies Services from CDPQ for €1.5bn (US$1.75bn), unlocking €90m (US$104.8m) of additional cost synergies by 2027 and €300m (nearly US$349.4m) in hazardous waste treatment acquisitions across the US, Brazil and Japan.
These moves strengthen capabilities in circular water management, pollution control and sustainable waste treatment.
The Group also issued its first green hybrid bond, raising €497m (US$578.7m) to fund climate-aligned projects.
“The excellent results recorded in the first half confirm the relevance of the GreenUp plan's growth priorities,” writes Estelle Brachlianoff, CEO of Veolia, in the H1 2025 results.
“In an uncertain economic and geopolitical context, the challenges related to health, resilience, competitiveness and sovereignty are all the more crucial and confirm the sustained demand for our services.
“Our unique ability to demonstrate agility in a constantly evolving environment enables us to maximise value creation for our stakeholders by combining resilience and growth.
“The strong performance in the first half of 2025 makes us fully confident in achieving our objectives for the year.”
Environmental service performance
Water
Sales in the water activity rose by more than 3.4% on a like-for-like basis, driven by price increases of +2.0%, volume growth and good commercial momentum of +1.4%.
- "Like-for-like" in a business or financial context means comparing results (like sales or financial figures) from one period to another, but only considering the same set of stores, businesses or activities
- This is a way to measure performance by excluding the impact of changes like new store openings, acquisitions or closures, giving a clearer picture of organic growth
Sales of stronghold Municipal Water grew by more than 3.6% on a like-for-like basis, with tariff increases in most geographies (particularly in Spain, Central and Eastern Europe and North America) and a favourable commercial effect.
Waste
Sales for waste activity revenues increased by +2.4 % on a like-for-like basis, thanks to favourable price revisions (+2.1%), slightly higher recyclate prices (+0.3%) and a positive Commerce/Volume/Works effect (+0.4%), according to the report.
Sales in the stronghold solid waste management core business were up +1.5% on a like-for-like basis.
This growth was mainly driven by a positive commercial momentum in Germany and in Asia, particularly in Hong Kong.
The activity also benefited from favourable price revisions, particularly in the UK and Australia.
Sales by the hazardous waste treatment booster rose by more than 4.9% on a like-for-like basis, driven mainly by France and Special Waste Europe and North America.
Energy
Energy sales were down -0.9% on a like-for-like basis, but up +5.5% excluding the impact of energy prices.
The unfavourable energy price effect of -6.4% was partially offset by a favourable climate impact of +3.0% and by the commerce/volume effect of +2.8%.
Sales in the stronghold District Heating and Cooling Networks, mainly located in Central and Eastern Europe, rose by +5.1% on a like-for-like basis after eliminating the impact of energy prices.
This growth was driven by good volumes combined with a favourable climate effect.
Revenue of the Bioenergies, Flexibility and Energy Efficiency booster business grew by +6.6% on a like-for-like basis, excluding the impact of energy prices, thanks to strong sales momentum in Italy, Hungary, Spain, Belgium and the Middle East.
Regional highlights in sustainable growth
Europe (excluding France) saw a 5.6% revenue rise (ex-energy prices), €9.73bn (US$11.33bn), driven by tariff indexations, favourable climate conditions and recycling price gains in Germany, Veolia predicts.
Latin America’s revenue came in at €948m (US$1.1bn) and achieved 10.5% growth, which Veolia states was led by strong water and waste operations in Colombia, Brazil and Argentina.
In the Middle East & Africa, revenue expanded by 4.8%, equating to €847m (US$986.4m) likely linked to new energy services and water projects, Veolia suggests.
In North America, revenues reached €1.54bn (US$1.79bn) euros, up +2.6% on a like-for-like basis.
This evolution was mainly driven by the Hazardous Waste activity, supported by a good commercial momentum with price increases, as well as the Regulated activity with favourable price increases.
Veolia reaffirmed its 2025 guidance, targeting organic EBITDA growth between 5% and 6%, €350m (US$407.5m) in annual efficiency gains and current net income growth of around 9%.
GreenUp objectives for 2027 include exceeding €8bn (US$9.3bn) EBITDA, sustaining annual current net income growth near 10% and maintaining leverage at or below 3x, with dividend growth aligned to earnings.
