Pre tax profit at Viridor was down 8.4 per cent to £57.6 million, hit by lower profits in its landfill business.
The company said that Viridor’s growing recycling business was its “largest profit generator” and highlighted a pipeline of energy from waste projects that would come on line in future.
South West Water reported a 9.8 per cent rise in pre-tax profit to £141.5 million for the year. Revenue was up 5.6 per cent to £474 million. The company highlighted improved customer contacts, which had seen contacts halve over the past two years. The company had also cut bad debt – which totalled 1.8 per cent of revenue – over the past half year.
The company said private sewer transfer would add 50 per cent to its waste water network, and it was anticipating making an IDoK application in 2013 for private sewer costs. It estimated costs of managing private sewers would eventually be £6-11 million annually.
Analysts Investec said “the performance from South West Water is very good, while the slowdown at Viridor is slightly disappointing, but much as expected. The key point is that Viridor retains its longer term structural growth story, through the planned roll-out energy from waste plants.”