Areva revenues down in 2014

04 February 2015

Areva's revenues dropped during 2014 while its order book simultaneously grew to record levels thanks to a €5.5 billion ($6.2 billion) deal to handle and recycle used fuel from EDF's reactor fleet.

The mixed results marked the end of a difficult year for Areva, the nuclear technology company marjority owned by the French state. Company CEO Philippe Knoche said: "The year of 2014, particularly the second half, was a hard time for Areva." He took over after previous head Luc Oursel passed away in December.

Areva's mining group took the largest hit to its revenues, down some €420 million ($479 million) on 2013's figure of €1717 million ($1958 million), because of uncertain market conditions and a "limited order intake." Sales volumes in 2014 were down 28% compared to 2013 which saw the end of 'HEU' agreement work and inventory drawdowns.

Revenue fell also at the other end of the nuclear fuel cycle in Areva's back-end business, with a 12.1% drop to €1531 million ($1746 million) during 2014 in the business area dealing with used nuclear fuel, reprocessing this and recycling fuel materials. Operating 58 power reactors in France, EDF is naturally Areva's largest customer, and a one-off contract for used fuel transport, treatment and recycling into mixed-oxide fuel had a €5.5 billion ($6.2 billion) effect on Areva's back-end order book.

This mega contract took Areva's total order book to €46.8 million ($53.4 billion), the largest in its history.

Researched and written
by World Nuclear News