This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Covanta Holding's CEO Discusses Q4 2011 Results - Earnings Call Transcript

Tony Orlando

Thanks, Alan. Good morning, everyone. Let's begin with a quick summary of 2011. For those of you using the web deck, please turn to slide three. We executed on our plan and came in at the midpoint of our guidance. That's a very good performance in the midst of some market ups and downs. Compared to 2010, revenue was up 4%, adjusted EBITDA was up 5%, free cash flow was down 12% and adjusted EPS was up 24%.

I am pleased with these financial results as well as our operating performance, and our disciplined capital allocation. However, I must say, I am not satisfied with the fact that our efforts have not yet rewarded our shareholders. I assure you, our management team is completely focused on the things we can do to create value and provide investors with transparency, so that you can more easily understand the value that we see in the business.

For us, it all starts with world-class facility operations benefit our clients and the communities we serve. Our team is tireless in pursuing innovation that continues improvement. As a result, in 2011, we've recorded our best ever safety record and our highest boiler availability.

That strong performance continued to fill confidence in our clients. That is evidenced by our numerous contract extensions, including several in the last couple of months. In addition, our newest clients Durham and York, in Ontario, demonstrated their confidence in Covanta last year, when they issued us the Notice to Proceed with construction of their showcase energy-from-waste facility.

The combination of our long-term client relationship and our stellar operational performance supports continued earnings growth and predictable cash flow generation, which we're utilizing to deliver on our commitment to return capital to shareholders. We established a regular quarterly dividend and continued to actively repurchase stock. Since the program began in 2010, we have repurchased approximately 14% of the shares outstanding.

3 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,915.07 -70.54 -0.42%
S&P 500 1,964.68 -8.15 -0.41%
NASDAQ 4,396.2040 -22.83 -0.52%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs