Covanta Holding Corporation Reports 2016 Third Quarter Results And Reaffirms 2016 Full Year Guidance

MORRISTOWN, N.J., Oct. 25, 2016

	Three Months Ended September 30,
	2016		2015
	(Unaudited, $ in millions, except per share amounts)
Revenue ARIVA.DE Börsen-Geflüster Kurse Covanta Holding -   0,00%	$421		$422
Net Income	$54		$34
Adjusted EBITDA	$124		$139
Cash flow provided by operating activities	$88		$123
Free Cash Flow	$74		$107
Diluted Earnings Per Share	$0.42		$0.25
Adjusted EPS	$0.18		$0.22
Reconciliations of non-GAAP measures can be found in the exhibits to this press release.

"Our waste business continues to grow, benefiting from strong market conditions and demand for our environmental solutions offerings," stated Stephen J. Jones, Covanta's President and CEO.  "Overall, operating performance is on track with the plan we laid out in the beginning of the year.  In addition, construction of the Dublin EfW facility is now over 75% complete, and this quarter we signed the remaining waste supply contracts to secure 90% of the facility's capacity.  We look forward to moving into commercial operations by the end of Q3 2017."

Third Quarter Results
For the three months ended September 30, 2016, total revenue decreased by $1 million to $421 million from $422 million in Q3 2015.  An increase in waste and service revenue was offset by decreases in metals and energy revenue.

Same store North America EfW revenue increased by $6 million as follows:

• waste and service revenue increased by $8 million, driven by price and volume improvements of $6 million and $2 million, respectively;
• energy revenue increased by $1 million, with higher prices and capacity revenue offsetting lower production volume; and
• recycled metals revenue decreased by $3 million, primarily driven by lower market prices.

Also within North America EfW revenue, contract transitions resulted in an increase of $4 million due to additional energy revenue sharing partially offset by the expiration of an above-market power purchase agreement.

All other revenue (non-EfW operations) decreased by $15 million on a consolidated basis.  Energy revenue from non-EfW operations decreased by $22 million, representing the contribution from biomass facilities and China operations in the prior year.  This was partially offset by a $6 million increase in waste and service revenue primarily from newly acquired environmental solutions businesses.

Operating expense increased by $13 million to $361 million. The year-over-year increase was primarily due to:

• an $11 million increase in North America EfW plant operating expense driven by the Durham-York facility coming online and same store cost escalation;
• an $8 million increase in North America segment non-EfW plant operating expense, primarily related to operations in our newly acquired environmental solutions businesses and higher accruals for employee incentive compensation, partially offset by shutting down remaining biomass facilities; and
• a $7 million decrease in plant operating expense outside the North America segment due to the exchange of ownership interests in EfW facilities located in China.

Adjusted EBITDA declined by $15 million on a year-over-year basis to $124 million, driven primarily by the China transaction and increased accrual for employee incentive compensation.

Free Cash Flow decreased by $33 million to $74 million, primarily as a result of lower Adjusted EBITDA and working capital.

Adjusted EPS decreased by $0.04 to $0.18. The decrease was driven primarily by the China transaction and increased accrual for employee incentive compensation.

Shareholder Returns
During the quarter, the Company declared a regular cash dividend of $0.25 per share, totaling $33 million. 

2016 Guidance
The Company is reaffirming its guidance for 2016 for the following key metrics:                       

Conference Call Information
Covanta Holding Corporation (NYSE:CVA) ("Covanta" or the "Company") will host a conference call at 8:30 AM (Eastern) on Wednesday, October 26, 2016 to discuss its third quarter 2016 results. The conference call will begin with prepared remarks, which will be followed by a question and answer session.  To participate, please dial 1-844-887-9404 approximately 10 minutes prior to the scheduled start of the call.  If calling from Canada, please dial 1-866-605-3852. If calling outside of the United States and Canada, please dial 1-412-317-9257. Please request the "Covanta Holding Corporation call" when prompted by the conference call operator. The conference call will also be webcast live from the Investor Relations section of the Company's website.  A presentation will be made available during the call and will be found on the Investor Relations section of the Covanta website at www.covanta.com.

A replay will be available one hour after the end of the conference call through 9:00 AM (Eastern) November 2, 2016. To access the replay, please dial 1-877-344-7529, or from outside of the United States 1-412-317-0088 and use the replay conference ID number 10093874. The webcast will also be archived on www.covanta.com.

About Covanta
Covanta is a world leader in providing sustainable waste and energy solutions. Annually, Covanta's modern Energy-from-Waste facilities safely convert approximately 20 million tons of waste from municipalities and businesses into clean, renewable electricity to power one million homes and recycle approximately 500,000 tons of metal. Through a vast network of treatment and recycling facilities, Covanta also provides comprehensive industrial material management services to companies seeking solutions to some of today's most complex environmental challenges. For more information, visit www.covanta.com.

Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking" statements as defined in Section 27A of the Securities Act of 1933 (the "Securities Act"), Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"), the Private Securities Litigation Reform Act of 1995 (the "PSLRA") or in releases made by the Securities and Exchange Commission ("SEC"), all as may be amended from time to time. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of Covanta Holding Corporation and its subsidiaries ("Covanta") or industry results, to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. Statements that are not historical fact are forward-looking statements. Forward-looking statements can be identified by, among other things, the use of forward-looking language, such as the words "plan," "believe," "expect," "anticipate," "intend," "estimate," "project," "may," "will," "would," "could," "should," "seeks," or "scheduled to," or other similar words, or the negative of these terms or other variations of these terms or comparable language, or by discussion of strategy or intentions. These cautionary statements are being made pursuant to the Securities Act, the Exchange Act and the PSLRA with the intention of obtaining the benefits of the "safe harbor" provisions of such laws. Covanta cautions investors that any forward-looking statements made by Covanta are not guarantees or indicative of future performance. Important factors, risks and uncertainties that could cause actual results to differ materially from those forward-looking statements with respect to Covanta include, but are not limited to: fluctuations in the prices of energy, waste disposal, scrap metal and commodities; adoption of new laws and regulations in the United States and abroad; the fee structures of our contracts; difficulties in the operation of our facilities, including fuel supply and energy transfer interruptions, failure to obtain regulatory approvals, equipment failures, labor disputes and work stoppages, weather interference and catastrophic events; difficulties in the financing, development and construction of new projects and expansions, including increased construction costs and delays; limits of insurance coverage; our ability to avoid defaults under our long-term service contracts; performance of third parties under our contractual arrangements; concentration of suppliers and customers; increased competitiveness in the energy industry; changes in foreign currency exchange rates; limitations imposed by our existing indebtedness; exposure to counterparty credit risk and instability of financial institutions in connection with financing transactions; our ability to utilize our net operating losses; failures of disclosure controls and procedures; general economic conditions in the United States and abroad, including the availability of credit and debt financing and market conditions at the time our contracts expire; and other risks and uncertainties affecting our businesses described in Item 1A. Risk Factors of our Annual Report on Form 10-K and in other filings by Covanta with the SEC.

Although Covanta believes that its plans, intentions and expectations reflected in or suggested by such forward-looking statements are reasonable, actual results could differ materially from a projection or assumption in any of its forward-looking statements. Covanta's future financial condition and results of operations, as well as any forward-looking statements, are subject to change and inherent risks and uncertainties. The forward-looking statements contained in this press release are made only as of the date hereof and Covanta does not have, or undertake, any obligation to update or revise any forward-looking statements whether as a result of new information, subsequent events or otherwise, unless otherwise required by law.

Covanta Holding Corporation									Exhibit 1
Condensed Consolidated Statements of Operations
	Three Months Ended September 30,								Nine Months Ended September 30,
	2016				2015				2016				2015
	(Unaudited) (In millions, except per share amounts)
Operating revenue
Waste and service revenue	$	299			$	283			$	875			$	805
Energy revenue	92				108				279				319
Recycled metals revenue	14				16				44				49
Other operating revenue	16				15				44				40
Total operating revenue	421				422				1,242 Werbung Mehr Nachrichten zur Covanta Holding Aktie kostenlos abonnieren E-Mail-Adresse Bitte überprüfe deine die E-Mail-Adresse. Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News 13:12 - ARIVA.DE Redaktion Kaum Impulse für die BASF-Aktie (51,31 €) 02:00 - PR Newswire FirstGroup Plc - Transaction in Own Shares 02:00 - PR Newswire International Business Machines Corp - Doc re Form 8-K SolarBank    Wie die Revolution der sauberen Energie eine solide Investitionsmöglichkeit bieten könnte weiterlesen» Anzeige wo-site-teaser-box-16755_site-teaser-box_2024-04-25_09%253A00%253A00_2024-04-26_09%253A00%253A59