By Nathan Allen
Suez SA (SEV.FR) said Thursday it will reorganize its group management committee as part of a strategic plan aimed at increasing growth and restoring profitability, as it confirmed its preliminary financial results released in January.
The plan includes cost-cutting measures with a particular focus on France and Spain, where the company hopes to increase synergies between its water business and its recycling and recovery business, Suez said.
The company named seven new executives to its management committee, including Jean-Marc Boursier, who will become group senior executive VP in charge of finance and recycling and recovery in Northern Europe, effective March 1.
"These new measures, and the more favorable macro-economic context since the beginning of the year, notably give us confidence for our 2018 targets," Chief Executive Jean-Louis Chaussade said.
Shares in the water and waste-management company dropped nearly 20% on Jan. 23 after it published unaudited figures showing it had missed profit targets.
Suez said net profit for the year fell 23% to 302 million euros ($368.9 million), while revenue was EUR15.87 billion, in line with the numbers published in January.