Casella Waste Systems, Inc. Announces First Quarter 2025 Results

Core Insights - Casella Waste Systems, Inc. reported a strong first quarter for 2025, with revenue and Adjusted EBITDA both increasing over 20% year-over-year, indicating successful execution of operating and growth strategies [3][4] - The company maintained its guidance for the year despite economic uncertainties, highlighting confidence in its pricing programs and growth initiatives [3][12] - Acquisitions remain a strategic priority, with four businesses acquired year-to-date, contributing approximately $50 million in annualized revenue [3][4] Financial Performance - Revenues for Q1 2025 were $417.1 million, up $76.1 million or 22.3% from Q1 2024, driven by acquisitions, price growth, and strong performance in National Accounts [4][8] - Adjusted EBITDA for the quarter was $86.4 million, reflecting a 21.7% increase from the previous year, supported by both acquisition contributions and organic growth [7][8] - The net loss for the quarter was $(4.8) million, compared to $(4.1) million in Q1 2024, primarily due to higher depreciation and amortization expenses [6][8] Pricing and Volume Trends - Solid waste pricing increased by 5.6%, with collection pricing up 5.8% and disposal pricing up 5.5% during the quarter [3][8] - Collection volume experienced a slight decline of 1.7%, attributed to weakness in the roll-off business and lighter transfer station volumes, although landfill tons increased by 3.9% [3][8] Cash Flow and Liquidity - Net cash provided by operating activities was $50.1 million for the quarter, significantly up from $7.7 million in Q1 2024, driven by higher Adjusted EBITDA and lower cash interest payments [10][8] - Adjusted Free Cash Flow for the quarter was $29.1 million, a substantial increase from $(2.4) million in the same period last year [10][8] Fiscal Year 2025 Outlook - The company reaffirmed its fiscal year 2025 guidance, estimating revenues between $1.775 billion and $1.805 billion, with Adjusted EBITDA projected between $410 million and $425 million [17][12] - The guidance includes the impact of acquisitions completed to date but does not account for any uncompleted acquisitions [12][17]