NYSE$RSG

Republic Services Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported strong first quarter results driven by broad-based contribution across the business, double-digit revenue growth, and margin expansion.

Republic Services reported a strong first quarter with a 20.6% increase in total revenue, including 9.6% organic growth and 11.0% from acquisitions. Adjusted EPS increased by 8.8% to $1.24 per share, and adjusted EBITDA reached $1,040.0 million. The company invested over $200 million in acquisitions and was named to Barron's 2023 100 Most Sustainable Companies List.

  • Total revenue growth of 20.6 percent includes 9.6 percent of organic growth and 11.0 percent of growth from acquisitions.
  • Core price on total revenue increased revenue by 8.2 percent.
  • Adjusted EBITDA was $1,040.0 million and adjusted EBITDA margin was 29.0 percent of revenue.
  • Cash invested in acquisitions was $224.1 million, all of which was in the recycling and solid waste business.

Headline financials

Total Revenue

$4.15B

Previous: $3.47B+19.6%
EPS (adj)

$1.24

Previous: $1.14+8.8%
Adjusted EBITDA

$1.04B

Previous: $904M+15.1%
Adjusted EBITDA Margin

29.0%

Previous: 30.4%-4.6%
Net Income Margin

10.7%

Previous: 11.9%-10.1%
Capital Expenditures

-$379M

Previous: -$334M-13.3%
Free Cash Flow

$5.25M

Previous: $17.9M-70.7%
Net Income

$384M

Previous: $352M+9.0%
Operating Income

$644M

Previous: $561M+14.9%
Gross Profit

$1.98B

Previous: $1.7B+16.1%
Cash & Equivalents

$132M

Previous: $39M+239.0%
Total Assets

$29.1B

Previous: $24.9B+16.9%
Stock-Based Comp

$11.6M

Previous: $12.4M-6.5%

Revenue & EPS history

Republic Services · Revenue · Quarterly

$4.15B

Q1 2023+19.6%vs Q1 2022
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Republic Services · $3.26B total across 3 segments · Q1 2023

  • Collection
    $2.46B+12.9%
  • Environmental Solutions (net)
    $408M+311.2%
  • Landfill (net)
    $393M+12.8%

Forward guidance

This press release contains forward-looking statements that are subject to risks and uncertainties.

Headwinds

  • Impacts of the overall global economy and increasing interest rates
  • Our ability to effectively integrate and manage companies we acquire, including US Ecology, and to realize the anticipated benefits of any such acquisitions
  • Acts of war, riots or terrorism, and the impact of these acts on economic, financial and social conditions in the United States
  • Our dependence on large, long-term collection, transfer and disposal contracts.

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 Q1 2023

Historical avgQ1 2023

+0.6%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+3.0%

Avg return

30 days after

60%

44 / 73 earnings

Positive

+5.9%

Q4 2013

Best reaction

-6.6%

Q3 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.8%+1.1%+4.5%
Q4 2025+0.4%+0.0%-0.9%
Q3 2025-2.1%-1.7%+3.4%
Q2 2025-0.4%+0.2%+1.0%
Q1 2025+1.2%+4.1%+5.0%
Q4 2024+3.1%+2.3%+3.3%
Q3 2024-0.8%-0.9%+8.9%
Q2 2024-4.9%-3.5%+3.6%
Q1 2024-3.8%-4.1%-5.9%
Q4 2023+0.6%-0.7%+3.6%
Q3 2023-1.1%+0.6%+8.7%
Q2 2023+0.4%-2.0%-3.7%
Q1 2023+5.4%+5.6%+2.8%
Q4 2022+4.1%+5.7%+4.7%
Q3 2022-0.3%-1.8%+2.4%
Q2 2022+1.1%+1.7%+1.7%
Q1 2022+1.2%-3.3%+0.6%
Q4 2021-5.8%-7.2%-0.9%
Q3 2021+4.2%+3.9%+4.6%
Q2 2021+2.6%+3.8%+7.1%
Q1 2021+1.9%+3.1%+0.5%
Q4 2020-1.8%-1.7%+8.4%
Q3 2020+3.4%+8.7%+1.9%
Q2 2020+4.7%+5.1%+8.1%
Q1 2020+1.7%+5.3%+12.5%
Q4 2019+2.0%+1.8%-13.7%
Q3 2019-0.4%-1.9%+0.9%
Q2 2019+4.1%+3.2%+0.8%
Q1 2019+1.6%+4.4%+6.6%
Q4 2018-0.9%+0.3%+0.7%
Q3 2018+1.0%+4.0%+9.6%
Q2 2018+2.7%+2.7%+3.7%
Q1 2018+3.9%+5.1%+5.1%
Q4 2017-4.1%-2.0%+6.7%
Q3 2017-1.0%-0.6%-0.5%
Q2 2017-0.8%-0.3%-0.7%
Q1 2017-0.4%+0.2%-0.3%
Q4 2016+2.8%+3.6%+7.2%
Q3 2016+1.3%+0.0%+8.5%
Q2 2016-0.8%-1.4%-2.2%
Q1 2016+1.2%
Q4 2015-0.2%
Q3 2015+0.1%
Q2 2015+2.3%
Q1 2015+3.7%
Q4 2014-3.2%
Q3 2014-2.4%
Q2 2014+0.9%
Q1 2014-1.3%
Q4 2013+5.9%
Q3 2013+3.0%
Q2 2013-2.4%
Q1 2013+3.3%
Q4 2012-1.4%
Q3 2012-6.6%
Q2 2012+3.9%
Q1 2012-0.1%
Q4 2011+0.1%
Q3 2011-3.6%
Q2 2011+0.0%
Q1 2011-0.1%
Q4 2007-1.4%
Q4 2010-1.4%
Q3 2010-5.0%
Q2 2010+1.5%
Q1 2009+4.7%
Q1 2010+0.2%
Q4 2009+1.7%
Q3 2008+3.2%
Q3 2009+3.2%
Q2 2009+2.6%
Q4 2008+2.6%
Q2 2008+2.6%

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