Of the 9.4% overall increase, around 2% was organic, with 8% driven by acquisitions – most notably the addition of Renewi, which significantly strengthened the group’s Resources and Energy division.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 3.7% to £271.1 million, however adjusted operating profit fell 6.1% to £137.4 million, reflecting ongoing cost pressures and softer volumes in parts of the business.
On a statutory basis – after taking account of one-off and non-cash items – Biffa reported an operating loss of £35.0 million. This is an improvement on the £56.1 million loss reported in the previous period, but still highlights the impact of exceptional costs during the year.
Strong commercial collections performance
The Collections division remains Biffa’s largest business, generating £1.09 billion in revenue in FY25, up 5.6% year-on-year.
Performance was split between:
- Industrial & Commercial (I&C) – revenue up 8.4%
- Municipal – revenue down 4.1%
Growth in I&C was driven by contributions from the L&S and Everything Managed acquisitions, along with price increases.
However, volumes were described as weak across several sectors, reflecting the challenging macroeconomic environment.
In Municipal, revenue fell by £9.4 million.
Lower inflation meant reduced indexation uplifts on contracts, and new contract wins did not fully offset contracts rolling off.
Plastics market remains difficult
The Resources and Energy division saw the strongest top-line growth, with revenue increasing 23.9% to £529.2 million.
This was largely due to the inclusion of Renewi’s UK municipal operations, following a capital investment of around £125 million.
The deal included five long-term residual waste treatment contracts serving local government customers in England and Scotland.
However, market conditions in plastics recycling were challenging. Low virgin polymer prices reduced demand for recycled material, impacting performance in the Polymers business.
As a result, Biffa closed its Washington Polymers site and Wigan Materials Recovery Facility (MRF).
Biffa said it expects demand for recycled plastics to recover as virgin prices normalise and regulatory and corporate pressure around recycled content increases.
Energy from Waste exit sharpens strategic focus
After the year end, Biffa completed the sale of its stakes in the Newhurst and Protos energy recovery facilities to Encyclis for £133.8 million.
Newhurst contributed £4.9 million in profit during FY25, while Protos recorded a £1.2 million loss. As joint ventures, they did not contribute to group revenue directly.
According to Biffa, the disposal will allow the company to focus more closely on its core collection, recycling and treatment activities.
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