NYSE$WCN

Waste Connections Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Waste Connections' Q4 2022 results were driven by price-led organic growth and acquisition activity, exceeding expectations and setting a higher entry point for 2023.

Waste Connections reported Q4 2022 revenue of $1.869 billion, net income of $194.4 million, and adjusted EBITDA of $563.6 million. The company's performance was driven by strong operational execution and solid waste pricing, along with acquisitions.

  • Revenue reached $1.869 billion, exceeding expectations.
  • Net income was reported at $194.4 million, or $0.75 per share.
  • Adjusted EBITDA amounted to $563.6 million, representing 30.2% of revenue.
  • Strong pricing and acquisition growth drove the results above expectations.
  • Completed acquisitions with approximately $640 million of total annualized revenue in 2022

Headline financials

Total Revenue

$1.87B

Previous: $1.62B+15.1%
EPS (adj)

$0.89

Previous: $0.83+7.2%
Core Price Growth

9.0%

Previous: 5.0%+80.0%
Surcharges

1.6%

Previous: 0.7%+128.6%
Volume

-2.5%

Previous: 1.2%-308.3%
Recycling

-2.9%

Previous: 2.6%-211.5%
Total Internal Growth

4.3%

No prior period
Capital Expenditures

$294M

Previous: $265M+11.1%
Free Cash Flow

$228M

Previous: $163M+39.5%
Net Income

$194M

Previous: $166M+16.9%
Operating Income

$312M

Previous: $249M+25.1%
Gross Profit

$731M

Previous: $643M+13.7%
Cash & Equivalents

$78.6M

Previous: $147M-46.7%
Total Assets

$17.1B

Previous: $14.7B+16.6%
Stock-Based Comp

$15.1M

Previous: $15.5M-2.8%

Revenue & EPS history

Waste Connections · Revenue · Quarterly

$1.87B

Q4 2022+15.1%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Waste Connections · $1.87B total across 5 segments · Q4 2022

  • Solid Waste Collection
    $1.38B+18.3%
  • Disposal & Transfer
    $365M+15.4%
  • E&P Waste
    $52.6M+53.1%
  • Intermodal & Other
    $46.8M+24.8%
  • Solid Waste Recycling
    $25.5M-63.3%

Forward guidance

Waste Connections anticipates strong pricing and acquisition growth to drive double-digit percentage increase in revenue, and adjusted EBITDA margin expansion in 2023.

Tailwinds

  • Revenue of approximately $8.05 billion, up 11.6%
  • Net income of approximately $961 million
  • Adjusted EBITDA of approximately $2.50 billion, or about 31.1% of revenue
  • Strong pricing and acquisition growth
  • Additional acquisitions, increases in recycled commodities and renewable fuels values, or reduction of inflationary pressures to provide upside to 2023 outlook

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 Q4 2022

Historical avgQ4 2022

+0.4%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.3%

Avg return

30 days after

57%

37 / 65 earnings

Positive

+8.1%

Q1 2026

Best reaction

-8.2%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+8.1%+4.5%-0.6%
Q4 2025-8.2%-6.1%-3.0%
Q3 2025+2.7%+0.6%+0.9%
Q2 2025+0.0%+0.6%-4.7%
Q1 2025+0.5%-0.1%+0.6%
Q4 2024-0.6%-1.2%-2.5%
Q3 2024-1.5%-2.4%+4.7%
Q2 2024-2.9%-2.7%+3.2%
Q1 2024-0.6%-0.9%-0.4%
Q4 2023+6.3%+8.7%+9.6%
Q3 2023-4.8%-3.4%-0.8%
Q2 2023-1.5%+0.2%-2.5%
Q1 2023-3.1%-1.5%-2.0%
Q4 2022+1.2%+1.1%-0.2%
Q3 2022+5.8%+6.5%+11.1%
Q2 2022+2.7%+4.7%+5.5%
Q1 2022-2.5%-5.8%-3.2%
Q4 2021+0.7%+1.2%+15.5%
Q3 2021+0.5%+3.0%+1.6%
Q2 2021-1.2%-1.8%+2.9%
Q1 2021+1.3%+2.8%+3.8%
Q4 2020+1.3%+0.4%+4.6%
Q3 2020-2.7%-1.9%+2.8%
Q2 2020+0.7%-1.6%-2.0%
Q1 2020+5.3%+7.2%+12.6%
Q4 2019+3.1%+4.1%-11.0%
Q3 2019+1.1%+0.7%-0.1%
Q2 2019-3.3%-5.0%-3.8%
Q1 2019+2.1%+3.3%+6.0%
Q4 2018-4.6%-2.5%-0.6%
Q3 2018+3.5%+1.8%+7.9%
Q2 2018+1.7%+0.8%+1.6%
Q1 2018+2.2%+4.1%+8.2%
Q4 2017+0.7%+3.6%+7.3%
Q3 2017+2.7%+1.2%-2.0%
Q2 2017+3.3%+1.8%+1.3%
Q1 2017+2.8%+2.0%+4.6%
Q4 2016+3.7%+4.5%+3.9%
Q3 2016-1.7%-0.1%+3.0%
Q2 2016+3.2%+5.0%+6.8%
Q1 2016+3.4%
Q4 2015-1.4%
Q3 2015-4.0%
Q2 2015+2.1%
Q1 2015-0.1%
Q4 2014-1.5%
Q3 2014+2.2%
Q2 2014+1.1%
Q1 2014-0.0%
Q4 2013+0.9%
Q3 2013-2.3%
Q2 2013-0.6%
Q1 2013+3.9%
Q4 2012-2.7%
Q3 2012-3.4%
Q1 2012+2.0%
Q2 2012+2.0%
Q4 2010+1.3%
Q4 2011+1.3%
Q3 2011-5.4%
Q2 2011-0.6%
Q1 2011-3.4%
Q3 2010-2.9%
Q2 2010+6.9%
Q1 2010-1.1%

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