Republic Services reports Q3 earnings beat, revenue miss

PHOENIX - Republic Services, Inc. (NYSE:RSG ) reported third quarter earnings that beat analyst estimates, while revenue fell short of expectations. The waste management company's stock slipped 1.3% following the results.

Republic Services posted adjusted earnings per share of $1.81 for the third quarter, surpassing the analyst consensus of $1.61 by $0.20. Revenue came in at $4.08 billion, missing the $4.12 billion estimate.

Total revenue grew 6.5% year-over-year, including 4.2% organic growth and 2.3% from acquisitions. Core price on total revenue increased 6.2%, while volume decreased revenue by 1.2%.

The company expanded its adjusted EBITDA margin by 210 basis points to 32.0% compared to the prior year quarter. Adjusted EBITDA rose to $1.30 billion from $1.15 billion a year ago.

"Our strong performance during the third quarter is a direct result of executing our strategic priorities," said Jon Vander Ark, president and CEO. "By pricing ahead of cost inflation and effective cost management, we delivered double-digit growth in adjusted EBITDA and EPS, and expanded adjusted EBITDA margin by more than 200 basis points."

For the full year 2024, Republic Services expects revenue to be near the low end of its previous guidance range. However, the company anticipates achieving the high end of its adjusted EBITDA guidance range.

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Source: Investing.com