Republic Services Reports 3.8% Revenue Growth to $4,009 Million in Q1 2025

Republic Services, Inc. reported a revenue increase of 3.8% for the first quarter of 2025, reaching $4,009 million compared to $3,862 million in the same period of 2024. The growth was attributed to a 4.5% rise in average yield, contributions from acquisitions, and increased revenue from recycling processing and environmental solutions. However, these gains were partially offset by a 1.2% decline in volume and a decrease in fuel recovery fees. The company's net income attributable to Republic Services rose to $495 million, or $1.58 per diluted share, up from $454 million, or $1.44 per diluted share, in the prior year.

In terms of operational performance, Republic Services saw a notable increase in its adjusted EBITDA, which rose to $1,268 million from $1,165 million year-over-year. The company’s cost of operations increased to $2,314 million, primarily due to higher labor costs, although this was somewhat mitigated by a decrease in fuel costs. The company also incurred restructuring charges of $4 million, down from $6 million in the previous year, primarily related to the implementation of a new accounts receivable system.

Strategically, Republic Services continued its acquisition strategy, spending approximately $834 million on various environmental services businesses during the quarter. This included the acquisition of COP Shamrock Parent, Inc., which enhances its capabilities in industrial waste and wastewater treatment. The company also reported a total of 208 active landfills and 369 collection operations across the U.S. and Canada, reflecting its extensive operational footprint.

The company’s balance sheet showed total assets of $33,103 million as of March 31, 2025, an increase from $32,402 million at the end of 2024. Total liabilities decreased to $21,438 million from $21,995 million, primarily due to a reduction in current liabilities. Republic Services maintained a strong liquidity position, with cash and cash equivalents rising to $83 million, up from $74 million at the end of the previous year. The company also declared a quarterly dividend of $0.580 per share, totaling $181 million for the quarter.

Looking ahead, Republic Services anticipates continued growth driven by its strategic acquisitions and operational efficiencies. The company expects to invest approximately $1 billion in acquisitions throughout 2025, aiming to enhance its market position and expand its service offerings. Management remains optimistic about the company's ability to navigate market conditions and deliver value to shareholders while maintaining compliance with financial covenants under its credit facilities.