PARIS (dpa-AFX) - France-based water and waste related activities firm Suez Environnement Co SA (SZEVY.PK) Wednesday reported a lower profit for the full year 2011, negatively impacted by Melbourne desalination plant construction project, despite about 7 percent growth in revenues. For the fiscal 2012, the company expects revenue and EBITDA at par or higher from last year.
The company stated that Degrémont in partnership with Thiess, a Leighton Group, which is Australia's civil engineering firm, had won a 30-year contract, in July 2009, to build and operate a major seawater desalination plant representing 1.6 billion euros in revenue for the Group.
The construction project which started in August 2009 experienced adverse weather conditions and low productivity in 2011. At the end of last month, physical completion of the plant was 89 percent.
For the full year, net income Group share declined to 323 million euros from 565 million euros in the previous year. On a per share basis, earnings for the year 2011 was 0.603 euros.
In 2011, net result was negatively impacted by 237 million euros. Excluding Melbourne impact, net income for the year was 560 million euros.
EBITDA improved 7.6 percent at constant forex, to 2.51 billion euros. EBITDA margin grew slightly to 16.9 percent. Operating income was 1.04 billion euros, compared to 1.02 billion euros a year ago.
Total revenues for the year increased 6.9 percent at constant forex to 14.83 billion euros from 13.87 billion euros in the prior year.
Jean-Louis Chaussade, CEO of the company said, 'Suez Environnement achieved a good operating performance in 2011, confirming the efficiency of its business model. Our two activities had very solid performances, above initial guidance, with dynamic sales activity in Water in Europe, the confirmation that waste industry is moving towards more recovery, and sustained growth internationally.'
The company expects to report higher revenues for the year 2012 in comparison with 2011 and looking for EBITDA of around 2.7 billion euros in 2013.
Suez also said it will propose payment of a dividend of around 0.65 euros for the year 2011.
In Paris, the shares are trading at 10.03 euros, down 0.64 percent, on 1.02 million shares.
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© 2012 AFX News
