GFL Environmental Reports Strong Q3 2025 Results and Increases Annual Outlook

GFL Environmental Inc., a leading provider of environmental services, recently shared its third quarter results for 2025, showcasing remarkable growth in its financial metrics. The company has consistently exceeded expectations across various sectors, leading to an increase in guidance for the full year's performance.

Financial Highlights

In the third quarter of 2025, GFL reported revenues reaching CAD 1,694.2 million, marking a 9.0% increase from the same period last year. This growth was driven by a unique combination of a 6.3% rise in core pricing and a 1.0% boost from positive volume increases. The company's adjusted EBITDA surged to CAD 535.1 million, a 12.0% rise attributed to a robust adjusted EBITDA margin of 31.6%, the highest achieved in the company’s history.

Patrick Dovigi, GFL's Founder and CEO, expressed pride in the company’s accomplishments and attributed this success to the dedication of over 15,000 employees. “Our financial performance continues to withstand external macroeconomic pressures,” Dovigi stated. The results underscore the resilience of their business model and the effectiveness of their strategies implemented to drive growth.

Strategic Capital Allocation

GFL’s strategic focus on capital allocation was evident during this quarter. The company successfully repatriated CAD 200 million from the recent recapitalization of GIP (Green Infrastructure Partners), alongside executing share repurchases amounting to CAD 346 million and investing upwards of CAD 300 million in acquisitions. The diverse and robust nature of their acquisition pipeline suggests a committed approach to opportunistic investment in growth strategies.

In the context of share repurchases, GFL has already acted on buying back over 5.1 million subordinate voting shares. This initiative forms part of their ongoing strategy to enhance shareholder value.

Updated Financial Guidance for 2025

Given the solid operational outcomes thus far, GFL has revised its projections for the entirety of 2025, nudging the revenue estimate to between CAD 6,575 million and CAD 6,600 million. Additionally, adjusted EBITDA is forecasted at CAD 1,975 million, reflecting an optimistic outlook bolstered by contributions from recent acquisitions and organic growth.

Dovigi conveyed confidence in GFL's advancement strategy, stating, “The growth investments and acquisitions we have undertaken will continue to drive margin expansion and overall growth as we move into 2026.”

Year-to-Date Performance

Analyzing the year-to-date results up until September 30, GFL reported total revenue of CAD 4,929.5 million, a 10.2% increase while excluding the effects of divestitures. Net income from continuing operations displayed a dramatic recovery to CAD 168.4 million, contrary to a significant loss reported in the earlier year, further showcasing the turnaround GFL is experiencing.

Adjusted Free Cash Flow for the first nine months of 2025 stands at CAD 331.3 million, a clear jump from CAD 235.4 million in the corresponding period of 2024. This reflects the company’s commitment to optimizing financial health while pursuing aggressive growth strategies.

Conclusion

As GFL Environmental heads towards the close of 2025, its performance indicators suggest a company on the rise, with a robust outlook as they navigate the complexities of the environmental services industry. With a firm commitment to innovation, strategic investments, and operational efficiencies, GFL is well-positioned to continue its upward trajectory in the environmental sector.