One Company, many challenges

Key figures

The environmental services market was an especially dynamic one in 2006. Veolia Environnement benefited from this favorable trend, pursuing its growth and substantially improving its profitability. Consolidated revenue rose 11.9% to €28.62 billion, with countries outside France accounting for more than half of the total. Operating income stood at €2.222 billion (up 16.7%) and recurring net income rose 20.9% to €762 million. The Company made targeted investments totaling €1.424 billion.

Revenue

On the strength of new contracts with local authorities in the Czech Republic and the Middle East (Water); in the UK and Asia (Environmental Services); in Italy and France (Energy); in the United States and the Netherlands (Transport), along with successful contract bids in the industrial segment in Europe and China, Veolia Environnement reported revenue of €28.62 billion in 2006, representing a rise of 11.9% from the 2005 figure (€25.57 billion). Growth was on the agenda in every sector: 10.4% for water, 10.6% for environmental services, 12% for energy and 17.2 for transport.

Net income

Recurring net income totaled €762 million in 2006, versus €630 million in 2005, a rise of 20.9%. In 2004, recurring net income stood at €477 million.

Données techniques : http://www.veoliaenvironnement.com/fr/groupe/chiffres/

History

Activities

A comprehensive range of environmental services: Veolia Environnement is the only Company to offer solutions addressing client needs in four complementary segments. The Company is the world’s leading operator in the water sector, proposes a complete range of waste management services and leads the European market for energy services to public authorities and industry. In addition, Veolia Environnement is the top-ranking private operator of public transportation systems in Europe and the United States.

Water

Veolia Water is a specialist division of Veolia Environnement. Boasting a history of growth spanning more than 150 years, Veolia Water is the global market leader in the water, wastewater and sanitation sector. With a workforce of 77,800 people in 59 countries and revenue of €10.1 billion in 2006, Veolia Water forms public-private partnerships with local authorities to manage water, wastewater and sanitation services on their behalf. The division also markets its expertise to industry. Its scope of activity includes the design and development of process technologies and the construction of the related structures and installations.

Environmental Services

Veolia Environmental Services is the division of Veolia Environnement specializing in the complete waste cycle for municipal and industrial wastes; it ranks second in the world in this field. Its focus is on limiting pollution from waste and reclaiming it as a new resource. The division also provides services in urban and industrial cleaning and waste management; collection, sorting, materials recovery, treatment and recycling; and site remediation. Veolia Environmental Services employs more than 89,500 people in 36 countries, and posted revenue of €7.5 billion in 2006.

Energy

How can energy consumption be optimized in industrial facilities and sites managed by public authorities? Veolia Energy (Dalkia), the energy services division of Veolia Environnement, markets an array of services targeting many different aspects of energy: management of heating networks, energy and fluids production units; engineering services; maintenance services for heating and power plants. Ranked No. 1 in Europe, Veolia Energy employs more than 48,700 people in 35 countries and posted revenue of €6.1 billion in 2006.

Transport

Because transportation has such a significant impact on our quality of life, finding solutions to urban traffic and promoting the use of public transit are key challenges. Veolia Transport, with revenue of €4.9 billion, is Europe’s leading private operator of passenger ground transportation systems. Its workforce numbers more than 81,800 employees, with presence in 30 countries. The division works with local authorities to improve public transportation systems. It also focuses on transportation solutions for industry (including rail freight and airport services).

Corporate citizenship

To play its part in resolving today’s major challenges, the Company’s commitment to corporate citizenship is expressed primarily through the Veolia Environnement Foundation. Set up in 2004 and endowed with an annual budget of €5 million, the Foundation backs initiatives in the areas of outreach, workforce development and environmental conservation, both in France and abroad. Support is provided in the form of financial assistance or a sharing of skills available within the Company. Each project is sponsored by an employee who is involved in organizing it and then monitors its implementation.

Strategy

By definition, environmental service activities cannot be delocalized. They require an attentive and simultaneous focus on local needs and today’s global environmental concerns, coupled with an ongoing quest for technological excellence. The strategy of Veolia Environnement is a response to these imperatives: the Company works alongside clients–local authorities and industry–to find solutions to match their needs, able to meet their environmental specifications and evolve to meet changing requirements.

Corporate governance

Trust is the foundation of the Company’s enduring relations with clients, suppliers, shareholders and the authorities. That is why Veolia Environnement enforces the rules of good corporate governance and promotes its corporate values. Governance is provided by a board of directors chaired by CEO Henri Proglio, an executive committee and cross-divisional committees (e.g., ethics, risk management). Governance is anchored in five key values: customer focus, responsibility, innovation, performance and team work.