International waste management, energy and water firm Veolia has said that revenue from recycled materials was down by €20 million (£17.64 million) on last year in its Q1 results.
For the period up to 31 March 2018, the company reported that the hit it took on paper alone was €26 million with rising prices in other commodities helping to reduce the overall revenue fall compared to the same period in 2017.
Overall, Veolia reported that revenue across its activities increased by 7% on Q1 2017 at constant exchange rates to reach €6.4 billion compared to €6.1 billion last year.
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Net income increased to €193 million from €154 million in Q1 2017.
Veolia chair and chief executive Antoine Frérot said: “We have accomplished a very good start of the year, confirming the pertinence and the good execution of our strategic plan. Sales growth was amplified quarter after quarter, with this sixth consecutive quarter of sustained progression of activity, supported by good commercial momentum, particularly outside of France.
“Results also progressed at a very good rhythm, driven by sales growth and by the acceleration of cost reduction efforts in line with the annual objective of €300 million. The performance accomplished in the first quarter allows us to be very confident in the achievement of our full year objectives.”
For the remainder of 2018, Veolia management is forecasting sustained revenue growth, greater earnings compared to 2017, and implementing more than €300 million in cost savings.