Suez Environnement has reported a “slight improvement” in its waste business as the European economy recovers.
The owner of SITA that also runs water businesses reported that overall earnings before interest, tax and amortisation fell to €552 million in the first quarter of 2014 from €564 million for the same period in 2013 due to the effects of currency exchange rates.
Overall, the amount of waste being treated increased by 1.7 per cent in the quarter, suggesting to the company that this is a sign of improving manufacturing and retail conditions in Europe.
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Performance by SITA UK and Scandinavia saw the strongest growth across the waste business with 6.5 per cent of organic growth representing an increase of €20 million. In the UK SITA was boosted by the commissioning of the South Tyne & Wear energy from waste plant, and the refuse derived fuel production plants for Cemex and the wood production plant for RWE. Volumes in landfill were also reported to have increased, while construction of the Suffolk and Cornwall incinerators are also in line with the announced schedule.
Suez Envrionnement chief executive Jean-Louis Chaussade said: “This first quarter of 2014 has been characterised by a satisfactory performance in the three divisions of our group, in an economic context which seems to be stablising in Europe…The slight improvement in the waste business seen at the end of last year, has continued, as shown by the 1.7 per cent increase in treated volumes.”