Weekly News Bulletin: Nov. 10-16, 2020


The Big Companies Emerge Stronger in Third Quarter

Encouraging news has emerged as the major publicly traded waste companies have released third quarter earnings this past week. In general, waste volumes, while still lower than year ago levels are considerably improved from the double-digit declines experienced in the second quarter.

Even C&D and special waste volumes are recovering, albeit more slowly, with the gradual reopening of the economy. Companies reported that roughly 70 percent of commercial customers that had cut or suspended business due to the pandemic had resumed service. This varied by region where tighter lockdowns in the Northeast for example were slower to recover...Read More »



WM Q3 Beats Analysts' Expectations

Waste Management, Inc. (WM)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 3,861 3,967
EBITDA 1,140 1,141
EBITDA Margin 29.5% 28.8%
Net Income 465 502

Waste Management surprised analysts with third quarter revenue and earnings that showed better-than-expected improvement in parallel with the gradual reopening of the economy. Earnings were $1.09 per share versus $1.19 per share a year ago, adjusted for non-recurring costs. Analysts had expected only $1.02 per share. Revenues for the quarter were $3.86 billion versus $3.97 billion a year ago, but also better than expected...Read More »



Republic Services Q3 Earnings Improve on Strong Pricing

Republic Services (RSG)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 2,572.1 2,646.9
EBITDA 696.6 751.6
EBITDA Margin 27.1% 28.4%
Net Income 260.0 298.3

Republic Services reported an 11 percent increase in third quarter net income, adjusted to exclude certain gains and expenses, of $319.3 million or $1 per share versus $290.3 or $0.9 per share last year. Much of the credit goes to cost cutting and increased efficiencies that resulted in a 230-basis point improvement in adjusted EBITDA...Read More »



Waste Connections Beats Expectations in Q3

Waste Connections, Inc. (WCN)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 1,389.6 1,412.4
EBITDA 432.6 443.6
EBITDA Margin 31.1% 31.4%
Net Income 158.0 159.1

Waste Connections exceeded third quarter profit and revenue expectations on sequential improvement in each line of business. Net income was $158 million, $0.60 per share, compared to $159 million, $0.60 per share last year. Adjusted for one-time gains and expenses, net income came to $0.72 per share, beating analysts' expectations of $0.66 per share...Read More »



GFL Revenue Jumps in Q3 After Acquisitions

GFL Environmental Inc. (GFL)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 1,036.0 898.0
EBITDA 281.2 225.7
EBITDA Margin 27.1% 25.1%
Net Income (114.7) (109.9)

GFL Environmental said its third quarter revenues grew 15.4 percent to $1.036 billion buoyed by recent acquisitions and core price increases of 3.5 percent. Offsetting these gains was a 1.7 percent decline in waste volumes, including a 3.6 percent decline in collection volume for the quarter. The net loss for the quarter improved to ($114.7) million, or ($0.32) per share from ($109.9) million, or ($0.61) per share a year ago...Read More »



Shakeup at Covanta Even as Q3 Shows Improvement

Covanta Holding Corporation (CVA)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 491.0 465.0
EBITDA 128.0 125.0
EBITDA Margin 26.1% 26.9%
Net Income 5.0 14.0

Covanta reported strong third quarter results reflective of the recovering economy in the wake of the pandemic, with year-over-year pricing improvement of 3 percent and waste volumes returning to near pre-pandemic levels. At the same time, Sam Zell, Chairman of the Board said the company is launching a strategic review of the company's operations, growth priorities, and capital structure and said that Michael Ranger has been appointed as President and CEO to lead the review. During its call with investors, Ranger said "there are no preset expectations for this review, and it has no scheduled end date."...Read More »



Casella Net Income Rises 22% on Pricing

Casella Waste Systems (CWST)
  Three Months Ended Sep. 30
(millions of $) 2020 2019
Revenue 202.7 198.5
EBITDA 51.3 48.4
EBITDA Margin 25.3% 24.4%
Net Income 15.1 12.4

Casella reported healthy third quarter revenues and earnings that improved with recovering economic and construction activity. Net income rose to $15 million, $0.31 per share versus $12 million, $0.26 per share a year ago. Revenues were also up because of recent acquisitions, core price increases, and higher recycling volume and revenues. Overall pricing improved 4 percent, with collection pricing up 3.7% and landfill pricing up 6.9 percent...Read More »


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