Covanta tweaks outlook for 2011

Oct 20, 2011 - US Covanta Holding Corp (NYSE:CVA) yesterday revised its 2011 guidance and said it now expected adjusted earnings per share (EPS) of USD 0.45-0.55 (EUR 0.33-0.40), compared with USD 0.40-0.55 forecast earlier.

A year ago the waste-to-energy specialist reported adjusted EPS of USD 0.42.

Free cash flow is now projected at USD 260 million-290 million, compared with USD 250 million-300 million in Covanta's previous forecast. A year before free cash flow was USD 318 million.

Covanta revised its adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) expectations to between USD 485 million and USD 505 million from USD 480 million-520 million. Adjusted EBITDA stood at USD 470 million in 2010.

On Wednesday Covanta posted adjusted EPS of USD 0.26 for the nine months through September, up from USD 0.24 a year back.

Free cash flow was USD 215 million, down form USD 236 million, the company said.

Adjusted EBITDA amounted to USD 346 million, compared with USD 341 million a year ago.

(USD 1 = EUR 0.730)

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