#Canada #Toronto #Q1 2025 #Waste Connections #solid waste

Waste Connections Reports First Quarter 2025 Results

On April 23, 2025, Waste Connections, Inc. disclosed its financial results for the first quarter of 2025, showcasing significant growth and expansion through both organic means and acquisitions. The company's revenue reached $2.228 billion, reflecting a 7.5% increase from the previous year, and surpassing initial expectations.

Financial Highlights
The net income for the quarter amounted to $241.5 million, equating to $0.93 per share, which is an improvement from $0.89 per share during the same period last year.
The adjusted EBITDA, a crucial performance metric, totaled $712.2 million, rising 9.5% year on year, leading to an adjusted EBITDA margin of 32%, which marks a 60 basis-point increase from the prior year.
* Furthermore, the company has demonstrated its operational agility, generating $541.5 million in net cash from operating activities, alongside an adjusted free cash flow of $332.1 million.

Strategic Growth Initiatives
Ronald J. Mittelstaedt, President and CEO, expressed satisfaction with these results, emphasizing the effectiveness of their price-led organic solid waste growth strategy and robust acquisition activity. The first quarter also marked the company's continued investment in acquiring new businesses, with total annualized revenues acquired reaching over $125 million. This included a notable acquisition of a cutting-edge recycling facility in New Jersey, enhancing Waste Connections' operational capabilities in the Northeast.

Despite facing challenges from adverse weather conditions that impacted volume across various regions, the company's resilient pricing strategy drove stronger performance than anticipated. Notably, the internal core solid waste pricing increased by 6.9%, underscoring its capacity to adapt and thrive amidst external pressures.

Commitment to Operational Excellence
Mittelstaedt further highlighted the company’s commitment to safety and employee retention, noting improvements in employee satisfaction for the tenth consecutive quarter and a record number of safety achievements during this period.

As Waste Connections looks to maintain its competitive edge, the firm remains well-positioned financially, with significant cash flow providing opportunities for further acquisitions and capital returns to shareholders. The robustness of its financial status is indicative of a sustainable long-term growth strategy rooted in solid environmental, social, and governance (ESG) principles.

Looking Ahead
As part of their proactive growth strategy, Waste Connections plans to hold a conference call on April 24, 2025, at 8:30 AM Eastern Time, to discuss the Q1 results in further detail and outline expectations for the upcoming quarters. Investors are encouraged to visit the company’s investor relations website for additional information and to access the live audio webcast.

In conclusion, Waste Connections demonstrates how strategic foresight and robust operations can lead to powerful outcomes, making it a frontrunner in the solid waste management industry. The company’s effective strategies and operational management signify a positive outlook for 2025 and beyond.