Waste-to-Energy Firm Covanta Posts Loss for Year

Allan Gerlat, News Editor

February 12, 2014

1 Min Read
Waste-to-Energy Firm Covanta Posts Loss for Year

Covanta Holding Corp. reported a drop in earnings for its quarter and a loss for the year, hurt by lower construction revenue.

For the fourth quarter ended Dec. 31, the Morristown, N.J.-based Covanta said net income fell 66 percent to $28 million, compared with $83 million in the 2012 period. Revenue dropped 2 percent to $422 million from $429 million a year earlier, according to a news release.

For the year, Covanta posted a net loss of $8 million compared with a profit of $116 million in 2012. Revenue slipped 1 percent to $1.63 billion from $1.64 billion a year earlier.

The decline in construction revenue came from its Honolulu facility expansion that began operation in 2012. The decline was partially offset by an increase in same-store North America waste-to-energy revenue and service fee contract transitions. “In 2013, we took a number of concrete steps to create long-term value, most notably signing a 20-year waste contract with New York City, acquiring the Camden (N.J. waste-to-energy) facility, extending several municipal client contracts and investing in numerous metal recovery systems," said Anthony Orlando, Covanta president and CEO.

For 2014, “We are focused on optimizing our energy-from-waste business by continuing to provide great customer service, extending contracts, executing our proactive maintenance program, increasing metal recovery and growing our sustainable waste solutions business."

About the Author(s)

Allan Gerlat

News Editor, Waste360

Allan Gerlat joined the Waste360 staff in September 2011 as news editor. He was the editor of Waste & Recycling News for the first 16 years of its history, and under his guidance the publication won 27 national and regional awards.

Before Waste & Recycling News, Allan worked at another Crain Communications publication, Rubber & Plastics News, which covers rubber product manufacturing. He began with the publication as associate editor and eventually became managing editor, a position he held for nine years.

Allan is a graduate of Ohio University, where he earned a BS in journalism. He is based in Sagamore Hills, in northeast Ohio.

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