#Canada #Toronto #financial results #GFL Environmental #growth guidance

GFL Environmental Reports Fourth Quarter and Full Year 2025 Results

Overview of Performance

GFL Environmental, one of North America's largest diversified environmental services firms, has announced impressive financial outcomes for the fourth quarter and full year of 2025. The company reported significant increases in revenue, adjusted EBITDA, and adjusted free cash flow, which surpassed market expectations.

Key Highlights from Q4 2025:

• - Revenue: $1,686.4 million, marking a 7.3% rise compared to the same quarter last year.
• - Adjusted EBITDA: Increased by 11.1% to $508.7 million, resulting in a record adjusted EBITDA margin of 30.2%, an increase from 29.1% in the previous year.
• - Net Income: The company recorded net income from continuing operations at $72.7 million, a recovery from a loss of $211.4 million in Q4 2024.
• - Adjusted Free Cash Flow: Reached $424.6 million, up from $281.4 million, reflecting strong operational performance.

Yearly Performance Highlights

For the full year 2025, GFL achieved noteworthy growth:

• - Total Revenue: $6,615.9 million, marking a 9.5% increase when adjusted for divestitures.
• - Adjusted EBITDA for the Year: Rose by 12.8% to $1,985.0 million, with an adjusted EBITDA margin of 30.0%, a record high for the company.
• - Net Income: Reported at $241.1 million, a significant turnaround from a loss in the previous year.
• - Free Cash Flow: The adjusted free cash flow soared to $755.9 million, a solid 23.6% increase compared to 2024.

Strategic Acquisitions and Share Repurchase

In 2025, GFL successfully completed acquisitions that contributed approximately $290 million in annualized revenue and executed share repurchases amounting to $3.0 billion, equating to over 10% of its subordinate voting shares. This reflects a proactive approach to capital management and strategic growth.

Guidance for 2026

Looking ahead, GFL provided optimistic guidance for the year 2026, highlighting expected revenue of $7,000 million, which represents an 8% increase year on year. They also anticipate:

• - Adjusted EBITDA: Approximately $2,140 million, indicating a 10% increase.
• - Adjusted Free Cash Flow Projection: Estimated to be about $835 million, reflecting a robust increase of 14% compared to 2025.

CEO Statement

Patrick Dovigi, GFL's Founder and CEO, expressed confidence in the firm’s trajectory, stating, "Our more than 15,000 employees delivered another year of results that exceeded our expectations... The strong execution of our value creation strategies has demonstrated remarkable growth potential, even amidst external macroeconomic challenges."

Conclusion

GFL Environmental Inc. has positioned itself for continued success through strong operational execution, strategic acquisitions, and substantial cash flow generation. With the proactive measures in place, including an optimistic outlook for 2026, GFL is set to enhance its market-leading position in the environmental services sector. The company's strong financial performance reaffirms its commitment to growth, value creation, and shareholder returns as it heads into the new year.

Upcoming Events

GFL will host a conference call to discuss its fourth quarter and full year 2025 results, along with its guidance for 2026, on February 11, 2026. Stakeholders are invited to participate either live or via a replay.

To learn more about GFL Environmental and its robust financial strategies, visit GFL’s website.

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