Suez Environnement, waste management firm Sita’s parent company, has revealed earnings before tax (EBITDA) for its waste Europe division of £720m – a 5.2% rise on the previous year.
As a whole, the group saw a rise in EBITDA of 13.6%, to £1,982m with £102m in cost savings.
According to Suez’s annual results, the profit in the waste division is a result of high growth in the company’s sorting and recycling activity. This is due to the high price of secondary raw materials, as raw materials become scarcer, combined with higher volumes being traded. Overall, the volume of waste treated increased by 1% through commercial and industrial waste, while municipal waste volumes have remained stable.
Suez chief executive Jean-Louis Chaussade said: “In 2010, the group accelerated its international development and intends to continue taking advantage of the rapidly expanding water and waste markets.
“Within the context of progressive macro-economic recovery, Suez will continue its strategy of long-term growth and offer attractive returns to its shareholders, with clearly defined medium-term objectives to create value on the large water and waste cycles.”
In 2010, sales activity was “dynamic”, which included many successful contract bids. Sita UK renewed its Aberdeenshire contract, signed a private finance initiative (PFI) contract in Suffolk and is currently the preferred bidder for the South Tyne and Wear PFI project