#Canada #Toronto #financial results #Q2 2025 #Waste Connections

Waste Connections Q2 2025 Earnings Report

Overview
Waste Connections, Inc. (TSX/NYSE: WCN) recently reported its financial outcomes for the second quarter of 2025, presenting $2.407 billion in revenue, which constitutes a 7.1% increase from the same period last year. They also confirmed their full-year outlook despite economic challenges, aiming for $9.45 billion in revenue overall.

Financial Performance Highlights

• - Revenue: $2.407 billion
• - Net Income: $290.3 million ($1.12 per diluted share)
• - Adjusted Net Income: $333.1 million ($1.29 per diluted share)
• - Adjusted EBITDA: $786.4 million

The company's President and CEO, Ronald J. Mittelstaedt, highlighted that strong employee retention and remarkable safety performance were pivotal in achieving these results. Core pricing for solid waste services increased by 6.6%, contributing to an overall solid waste margin expansion of approximately 70 basis points during the quarter.

Company Strategy and Growth
Mittelstaedt noted that despite external challenges, including economic sluggishness and uncertainties due to tariff changes, Waste Connections continues to seek growth through acquisitions, boasting a robust pipeline with an approximate $200 million in annualized revenues already secured. The firm plans to maintain flexibility in capital returns to shareholders, along with ongoing opportunities for share repurchases.

In addition to acquisitions, Waste Connections is focusing on generating additional revenues through improved efficiency in commodity-related operations and solid waste volumes. With an adjusted EBITDA margin set to reach 33% and revenue growth aimed at 6%, the company is asserting confidence in its position moving forward.

Future Outlook
For the remainder of 2025, Waste Connections maintains an optimistic projection, estimating:

• - Total Revenue: $9.45 billion
• - Adjusted EBITDA: Approximately $3.12 billion
• - Adjusted Free Cash Flow: Estimated at $1.3 billion

This outlook rests on the assumption that current economic trends will persist without significant shifts.

Conclusion
As Waste Connections continues to show resilience amid economic challenges, its focus on growth through efficiencies, acquisitions, and improvements in service pricing positions the company well for future success. The upcoming second quarter earnings call is scheduled for July 24, 2025, further providing insight into their strategic directions.

• ---