Republic Services reports ‘solid start’ to Q1

Republic Services has reported a net income of $495 million, or $1.58 per diluted share, for the three months ending March 31. This is compared to a net income of $454 million, or $1.44 per diluted share, for the 2024 period. 

“We are off to a solid start to the year, and our business continues to perform well even with increased volatility in the broader economy,” says Jon Vander Ark, president and CEO. 

He adds that while topline results were impacted by “sluggish cyclical volumes and challenging winter weather,” the company generated high single-digit EBITDA growth and 140 basis points of adjusted EBITDA margin expansion by pricing ahead of cost inflation and effective cost management. 

“Our ability to produce these results reflects the resiliency of our business model and the financial benefits we are delivering by investing in our different capabilities,” he concludes. 

Total revenue growth of 3.8 percent includes 2.9 percent organic growth and 0.9 percent growth from acquisitions. The impact of one less work day decreased revenue by 50 basis points compared to the same period in 2024.

Core price on total revenue increased revenue by 6.1 percent. Core price on related business revenue increased revenue by 7.3 percent, consisting of 9.0 percent in the open market and 4.6 percent in the restricted portion of the business.

Revenue growth from average yield on total revenue was 4.5 percent, and volume decreased revenue by 1.2 percent. Revenue growth from average yield on related business revenue was 5.4 percent, and volume decreased related business revenue by 1.5 percent.

Adjusted EBITDA, a non-GAAP measure, was $1.27 billion, and adjusted EBITDA margin, a non-GAAP measure, was 31.6 percent of revenue, an increase of 140 basis points over the prior year.

Republic invested $826 million in cash for acquisitions in the first quarter and completed and commenced operations on a renewable natural gas project. 

The company's average recycled commodity price per ton sold at its recycling centers during the first quarter was $155. This represents an increase of $2 per ton over the prior year.