Key Takeaways Waste Connections beat Q4 earnings estimates, with revenues up 5% year over year.WCN posted an operating loss of $199.1M as adjusted EBITDA fell 8% and margins narrowed.Waste Connections expects 2026 revenues of $9.9-$9.95B and EBITDA of $3.3-$3.325B.Waste Connections, Inc.’s (WCN) fourth-quarter 2025 earnings beat the Zacks Consensus Estimate by a slight margin and increased 11.2% year over year. The top line met the consensus estimate and grew 5% year over year. The earnings beat failed to i ...

Shares of Waste Connections, Inc. (TSE:WCN – Get Free Report) have been given an average rating of “Strong Buy” by the ten research firms that are presently covering the firm, MarketBeat reports. One analyst has rated the stock with a hold rating and nine have issued a strong buy rating on the company. Get Waste Connections alerts: WCN has been the subject of a number of recent research reports. Wells Fargo & Company upgraded Waste Connections to a “strong-buy” rating in a report on Thursday, November 13th. ...

Group 1 - TD Cowen lowered the price target on Waste Connections (WCN) to $200 from $210 while maintaining a Buy rating on the shares [1] - The firm noted that a fairly solid operational Q4 was offset by underwhelming 2026 guidance [1] - An 8% selloff in the stock price was deemed excessive by the firm [1]

Core Insights - Waste Connections has demonstrated strong execution and operational discipline, reinforcing its successful track record in mergers and acquisitions [1] Group 1: Company Performance - The company has faced modest volume pressures but continues to deliver strong results [1] Group 2: Investment Philosophy - The investment philosophy emphasizes acquiring high-quality stocks and businesses led by disciplined capital allocators that generate exceptional returns on capital and can compound invested capital over long periods [1]

Core Insights - The company's performance in 2025 was driven by price-led organic growth, solid waste improvements, and operational efficiencies, resulting in a 7.7% increase in adjusted EBITDA to $3.125 billion [3][7][11] - The 2026 outlook anticipates revenue between $9.9 billion and $9.95 billion, with adjusted EBITDA projected at $3.30 billion to $3.325 billion, assuming no macroeconomic improvements [5][17] - The company reported a decline in recycled commodity values and renewable energy credits, impacting reported results despite margin expansion [1][4] Financial Performance - Q4 revenue reached $2.373 billion, with adjusted EBITDA rising to $796 million, reflecting a margin increase of 110 basis points [6][10] - For the full year, adjusted EBITDA margin was 33%, up 50 basis points from the previous year [11] - Adjusted free cash flow for 2025 was reported at $1.26 billion, with capital expenditures totaling $1.194 billion [15] Operational Improvements - The company achieved a 6.5% increase in solid waste core pricing, contributing to a 100 basis point margin expansion in solid waste [1] - Employee turnover and safety incident rates declined for three consecutive years, indicating improved workforce stability and safety [3][7] - Management noted reductions in operating costs, particularly in labor and risk management, which supported pricing retention [2] 2026 Guidance and Capital Plans - The guidance for 2026 includes an adjusted free cash flow target of $1.4 billion to $1.45 billion, with capital expenditures around $1.25 billion [5][17] - The company plans to continue its acquisition strategy, having closed 19 acquisitions in 2025 totaling approximately $330 million in annualized revenue [19] - Management emphasized that the 2026 outlook does not account for potential improvements in commodity values or cyclical volume recovery [18] Sustainability and Technology Initiatives - The company has five renewable natural gas (RNG) facilities operational, with expectations for improved contributions in 2027 as projects ramp up [21] - Initiatives aimed at digitizing operations and enhancing customer experience are underway, including real-time routing and improved mobile connectivity [22] - Progress on the Chiquita Canyon landfill management continues, with regulatory challenges impacting costs and timelines [12][13]

Waste Connections (NYSE:WCN) Q4 2025 Earnings call February 12, 2026 08:30 AM ET Company ParticipantsAdam Bubes - VP of Equity ResearchChris Murray - Managing DirectorJerry Revich - Managing DirectorKevin Chiang - DirectorMary Anne Whitney - CFORon Mittelstaedt - President and CEOSaba Khan - Managing DirectorShlomo Rosenbaum - Managing DirectorTami Zakaria - Execuitve DirectorYehuda Silverman - Equity Research AssociateConference Call ParticipantsJames Schumm - Senior AnalystKonark Gupta - Equity Research A ...

Financial Data and Key Metrics Changes - Adjusted EBITDA margin expanded by 110 basis points in Q4 2025, reaching an industry-leading 33%, up 100 basis points year-over-year, excluding lower commodities [3][19] - Full year 2025 Adjusted EBITDA was $3.125 billion, up 7.7% year-over-year [20] - Revenue for Q4 was $2.373 billion, with acquisitions contributing approximately $58 million [17] Business Line Data and Key Metrics Changes - Solid waste core pricing increased by 6.5% in 2025, contributing to margin expansion [9] - Reported volume decreased by 2.7%, reflecting intentional shedding and ongoing weakness in cyclically driven elements [17] - Special waste tons increased by 7% for the full year 2025, while construction and demolition debris tons decreased by 5% [18] Market Data and Key Metrics Changes - Q4 pricing accelerated to 6.4%, ranging from 3.7% in the Western region to over 7% in competitive markets [17] - The Northeast market showed improvement in internalization rates, now up to almost 60% [74] Company Strategy and Development Direction - The company remains focused on solid waste and plans to continue disciplined acquisition strategies, with $330 million in annualized revenue from 19 acquisitions in 2025 [11][12] - Investments in sustainability and AI technology are prioritized to enhance efficiency and customer service [15][48] - The company aims for double-digit adjusted free cash flow growth in 2026, with a focus on maintaining a strong balance sheet [27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the potential for upside from economic recovery and commodity price increases, although no significant improvements were factored into the 2026 outlook [35][36] - The company is encouraged by macro indicators suggesting improving dynamics in the broader economy [19] Other Important Information - The company returned over $830 million to shareholders through share repurchases and dividends in 2025 [3] - Capital expenditures for 2025 were $1.194 billion, including $100 million for RNG projects [22] Q&A Session Summary Question: Can you elaborate on sustainability CapEx and Chiquita Canyon spend? - Management expects both sustainability-related outlays and Chiquita Canyon costs to step down in 2026-2027, with $100 million for RNG projects expected to be completed in 2026 [30][31] Question: What are the expectations for the macro environment and potential upside? - Management has not baked in improvements in commodity values or cyclical volumes but noted that any such improvements would provide upside to the outlook [34][35] Question: Can you provide an update on the Northeast Corridor build-out? - The company has significantly increased throughput at the Arrowhead Landfill and continues to focus on densification in the Northeast [71][72] Question: How is the ramp-up of new RNG facilities progressing? - The ramp-up is taking longer than expected due to permitting issues, but the company remains confident in the long-term returns from these investments [76][80]

Waste Connections (NYSE:WCN) Q4 2025 Earnings call February 12, 2026 08:30 AM ET Speaker9Hello, everyone. Thank you for joining us, and welcome to the Waste Connections Q4 2025 earnings call. After today's prepared remarks, we will host a question and answer session. If you'd like to ask a question, please press star one on your telephone keypad. To withdraw your question, please press star one again. I will now hand the call over to Ron Mittelstaedt, President and CEO. Please go ahead, Ron.Speaker10Okay. T ...

December /Q4 2025 SAFE HARBOR STATEMENT This document contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 ("PSLRA"), including "forward-looking information" within the meaning of applicable Canadian securities laws. These forward-looking statements are neither historical facts nor assurances of future performance and reflect Waste Connections' current beliefs and expectations regarding future events and operating p ...

Core Insights - The company achieved record-low employee turnover and safety incident rates, which management identifies as the primary driver for cost savings in labor, repairs, and risk management [1] - The company delivered 100 basis points of underlying solid waste margin expansion by maintaining a disciplined price-cost spread of 150 to 200 basis points despite volume sluggishness [1] - Outperformance is attributed to internal operational improvements that successfully offset headwinds from multiyear lows in recycled commodity values and renewable energy credits [1] Strategic Focus - The company has a strategic focus on 'winning from within' through the deployment of AI-driven dynamic routing and mobile connectivity to enhance asset utilization and customer retention [1] - The company maintained a selective M&A strategy, closing $330 million in annualized revenue across 19 acquisitions while preserving a strong balance sheet with 2.75x leverage [1] Operational Challenges - The company is progressing on the technical mitigation of the Chiquita Canyon landfill event, though management noted that political and regulatory complexities have inflated costs and extended timelines [1]