NYSE$CLH

Clean Harbors Inc. · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Clean Harbors reported a strong third quarter, marked by revenue growth and solid performance across its segments.

Clean Harbors announced a 22% increase in Q3 revenues, reaching $951.5 million, the highest quarterly revenue in the company's history. Net income was $65.4 million, or $1.20 per diluted share, with adjusted EPS of $1.14. The company also achieved a 10% growth in adjusted EBITDA, amounting to $185.1 million, and raised its full-year 2021 adjusted EBITDA and adjusted free cash flow guidance.

  • Q3 revenues increased by 22% to $951.5 million.
  • Net income reached $65.4 million, with an EPS of $1.20 and adjusted EPS of $1.14.
  • Adjusted EBITDA grew by 10% to $185.1 million, representing a margin of 19.5%.
  • Full-year 2021 adjusted EBITDA and adjusted free cash flow guidance were raised.

Headline financials

Total Revenue

$951M

Previous: $779M+22.1%
EPS (adj)

$1.14

Previous: $0.90+26.7%
Adjusted EBITDA

$185M

Previous: $161M+14.8%
Capital Expenditures

-$147M

Previous: -$150M+2.5%
Free Cash Flow

-$81.2M

Previous: -$95.4M+14.9%
Net Income

$65.4M

Previous: $54.9M+19.2%
Operating Income

$105M

Previous: $83.9M+25.0%
Gross Profit

$312M

Previous: $268M+16.6%
Cash & Equivalents

$647M

Previous: $476M+35.9%
Total Assets

$4.35B

Previous: $4.11B+6.0%
Stock-Based Comp

$6M

Previous: $6.66M-9.9%

Revenue & EPS history

Clean Harbors · Revenue · Quarterly

$951M

Q3 2021+22.1%vs Q3 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Clean Harbors · $951M total across 2 segments · Q3 2021

  • Environmental Services
    $746M+47.1%
  • Safety-Kleen Sustainability
    $206M-24.5%

Forward guidance

Clean Harbors anticipates a strong finish to 2021 across its core business lines, driven by sustained demand and the recent acquisition of HydroChemPSC. The company expects to navigate challenges related to cost inflation, supply chain disruption, and labor availability through pricing initiatives. A favorable outlook is maintained for both segments into 2022, supported by a wide spread between used oil and base oil pricing within the SKSS segment.

Tailwinds

  • Strong demand environment in North America is expected to continue.
  • HydroChemPSC acquisition is expected to accelerate growth.
  • Considerable backlog of waste volumes within the Environmental Services network.
  • Field Services business has transitioned well back to its core operations.
  • Wide spread between used oil to base oil pricing is expected to continue benefiting the SKSS segment.

Headwinds

  • Cost inflation.
  • Supply chain disruption.
  • Labor availability.
  • Transportation-related limitations.
  • Navigating through ongoing headwinds.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.8%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+2.6%

Avg return

30 days after

41%

28 / 68 earnings

Positive

+17.4%

Q3 2020

Best reaction

-14.3%

Q4 2013

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.1%-6.5%-9.9%
Q4 2025+2.7%+4.4%+2.5%
Q3 2025-11.5%-15.2%-7.6%
Q1 2025-0.1%+4.1%+5.9%
Q4 2024-3.0%-6.6%-13.4%
Q3 2024-12.2%-9.8%-1.3%
Q2 2024+8.0%+1.2%+9.6%
Q1 2024+8.5%+12.2%+14.3%
Q4 2023-2.6%-1.8%+4.0%
Q3 2023+0.9%+0.5%+8.6%
Q2 2023+0.3%+1.3%+4.0%
Q1 2023-6.5%-6.4%+3.3%
Q4 2022+3.2%+2.2%+7.9%
Q3 2022-8.0%-8.3%+2.1%
Q2 2022+8.8%+13.8%+18.9%
Q1 2022-6.7%-12.6%-6.3%
Q4 2021-2.1%+2.4%+15.3%
Q3 2021-10.0%-8.3%-16.3%
Q2 2021+3.0%+5.0%+6.8%
Q1 2021+5.7%+6.0%+6.2%
Q4 2020+0.4%+0.7%+0.3%
Q3 2020+17.4%+25.6%+36.2%
Q2 2020+5.9%+8.2%-4.9%
Q1 2020-5.1%-8.8%+5.5%
Q4 2019-10.6%-10.7%-38.2%
Q3 2019+5.1%+6.1%+5.4%
Q2 2019+4.2%+0.5%+0.9%
Q1 2019-6.1%-6.4%-15.6%
Q4 2018+13.3%+12.8%+19.2%
Q3 2018+1.0%+0.6%+1.4%
Q2 2018+9.7%+8.9%+20.5%
Q1 2018+12.7%+13.6%+18.1%
Q4 2017-4.0%+0.7%-2.5%
Q3 2017-0.2%-0.3%+0.4%
Q2 2017-6.0%-5.6%-6.5%
Q1 2017+2.0%+2.5%+1.2%
Q4 2016+0.8%+2.0%-3.8%
Q3 2016-4.1%-3.7%+16.6%
Q2 2016-1.4%-2.2%-7.0%
Q1 2016-5.2%
Q4 2015-1.1%
Q3 2015-5.4%
Q2 2015+1.2%
Q1 2015-2.2%
Q4 2014+8.7%
Q3 2014-1.1%
Q2 2014-0.5%
Q1 2014-1.3%
Q4 2013-14.3%
Q3 2013-6.8%
Q2 2013-5.4%
Q1 2013-7.5%
Q4 2012+1.5%
Q3 2012-0.1%
Q2 2012-6.6%
Q1 2012-5.6%
Q4 2011-1.4%
Q3 2011-6.0%
Q2 2011-2.5%
Q1 2010+3.3%
Q1 2011+0.2%
Q4 2008-2.4%
Q4 2010-2.4%
Q3 2009+0.5%
Q3 2010+0.5%
Q2 2010-1.9%
Q4 2009-1.9%
Q2 2009-1.9%

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