Veolia targets the Middle East water market
French firm eyes high growth areas after seeing sparkling H1 results.
Veolia Environnement intends to focus on high growth markets such as the Middle East, the company said after reporting a surge in first half profit.
Europe’s biggest water company booked net income of EUR 151.1mn ($200mn), almost double the restated EUR 800,000 seen during the same period last year.
An improvement in water and waste operations countered a decline in demand for energy services, the Paris-based firm said in a statement.
“Our results improved significantly in the second quarter,” chief executive Antoine Frerot said in the earnings statement. “The unfavourable first-quarter weather impacts have already been absorbed.”
Frerot aims to increase Veolia’s reliance on industrial contracts, narrow its global spread and focus on “high growth” markets such as the Middle East and China.
The company already has a large footprint in the GCC and surrounding area through participation in desalination projects and wastewater facilities.
Reduced debt, improved profitability on municipal contracts and a move into new markets such as water-treatment works for the mining, oil and gas and food industries, is also on the cards, Frerot said.