Equity Snap: Veolia Environnement (VIE FP): Modest improvement in FY26 net income guide

Research evidence excerpt

Equity Snap: Veolia Environnement (VIE FP): Modest improvement in FY26 net income guide

30 July 2026

Equity Snap: Veolia Equities Multi-Utilities

Environnement (VIE FP)

Modest improvement in FY26 net income guide France

◆ Mixed results with EBITDA inline, net income slightly below Charles Swabey*

expectations. Yet, FY26 guide improved at net income. Global Utilities & Renewables Analyst HSBC Bank plc

charles.swabey@hsbc.com

+44 20 3268 3954

Veolia Environnement (VIE FP, EUR35.15, Buy, TP EUR40.00)

Meike Becker*

(Priced as of 29 Jul 2026) Senior Global Utilities & Renewables Analyst

HSBC Bank plc

Headline 1H 2026 results: Veolia reported 1H 26 EBITDA of EUR3,552mn, in line meike.becker@hsbc.com

with consensus expectations (0% vs consensus and 0% vs HSBC), implying 5% +44 20 7991 6441

growth (+5% growth at constant FX and scope) compared to previous year. Organic

* Employed by a non-US affiliate of HSBC Securities (USA) Inc, and is

EBITDA came in at the bottom end of the 5-6% guidance range, with positive not registered/ qualified pursuant to FINRA regulations

contributions from growth & performance (+6%) and weather (+0.9%), marginally

offset by negative impacts from Energy & Recycled price (-1.8%). Company noted

“enhanced momentum in Q2” for volume and commerce, following a soft 1Q. As

expected, FX ( -0.9%) was a headwind while recent tuck-ins resulted in positive

scope impacts (+1.3%). Current EBIT of EUR1,956m came in slightly ahead of

expectations (+1% vs consensus and 0% vs HSBC). At the net income level,

EUR837m for 1H 2026 came in 2% below expectations due to higher minorities and

higher interest expenses.

Efficiency gains came in at EUR195mn, equating to 56% of the annual target of

>EUR350mn and the main contributor to group EBITDA growth in 1H 2026. A strong