Clean Harbors Conference Call Summary Company Overview - **Company**: Clean Harbors - **Event**: 28th Annual Needham Growth Conference - **Presenters**: Co-CEO Mike Battles, SVP Jim Buckley Key Points Industry and Business Segments - Clean Harbors operates primarily in the environmental services and oil business sectors, with total revenue exceeding $6 billion in 2025, of which approximately $1 billion is from the oil business and $5 billion from environmental services [3][8]. Oil Business Performance - The oil business has seen a significant decline from $300 million to approximately $140 million due to falling oil prices and market challenges [4]. - The company shifted focus to collecting high-value used motor oil (UMO) instead of volume, leading to improved profitability despite lower collection volumes [5][6]. - The goal for 2026 is to stabilize the oil business and make it less volatile [6]. Environmental Services Business - The environmental services segment is performing well, with a 12% revenue growth in Q3 and 7% growth over the first nine months of 2025, driven by price increases and volume [9]. - The technical services (TS) business, which includes PFAS remediation, is expected to continue its growth trajectory, with pricing discipline being a key factor [10][25]. - The Safety-Kleen branch, focusing on small quantity hazardous waste, has also shown consistent growth of 7% over the past several years [11]. Industrial Services Challenges - The industrial services segment, valued at approximately $1.3 billion, has faced challenges with negative revenue growth of 5% due to delayed turnarounds in large plants [12][13]. - Leadership changes are anticipated to improve performance in this segment, with hopes of stabilizing revenue in 2026 [14]. PFAS Remediation - PFAS-related services are projected to grow at 20% annually, with Clean Harbors positioned as a leader in high-temperature incineration for PFAS disposal [27][30]. - Recent engagements with regulatory bodies and successful projects, such as the one in Hawaii, are expected to enhance growth in this area [36][37]. Pricing Strategy - Clean Harbors maintains a disciplined pricing strategy, with annual contract renewals allowing for price adjustments based on inflation and market conditions [55][57]. - The company has successfully navigated price negotiations, achieving mid-single-digit price increases [57]. M&A and Growth Strategy - Clean Harbors has a strong cash position with $1 billion available and plans for share buybacks, indicating a focus on shareholder value rather than aggressive M&A [58]. - The company is exploring smaller acquisitions in the environmental services space, particularly targeting privately owned businesses [62][63]. Internal Investments - Significant investments are being made in infrastructure, including the Kimball incinerator, which is expected to generate $20-$30 million in EBITDA in 2026 [40][41]. - The company is also developing mega hubs to enhance operational efficiency and margin improvement [71][73]. Future Outlook - Clean Harbors is optimistic about stabilizing its industrial services segment and continuing growth in environmental services and PFAS remediation [14][27]. - The company aims to leverage its strong market position and operational efficiencies to drive future profitability [25][66]. Additional Insights - The leadership emphasizes the importance of maintaining high margins and operational efficiency across all business segments [26][72]. - The company is cautious about the timing of potential captive incinerator closures, recognizing the long-term commitment involved [48][50]. This summary encapsulates the key insights and strategic directions discussed during the Clean Harbors conference call, highlighting both challenges and growth opportunities within the company and its industry.

Core Insights - Crude Value Insights provides an investment service and community focused on the oil and natural gas sectors, emphasizing cash flow generation and growth potential [1] Group 1 - The service offers subscribers access to a model account with over 50 stocks, detailed cash flow analyses of exploration and production (E&P) firms, and live discussions about the sector [1]

Core Insights - The Global Pharmaceutical Waste Management Market is projected to grow at a CAGR of 5.91% from 2026 to 2032, increasing from USD 1662.35 Million in 2024 to USD 2631.59 Million by the end of the forecast period [1][8]. Market Growth and Trends - The pharmaceutical industry is facing challenges in managing waste responsibly, driven by stringent environmental regulations and the need to minimize public health impacts [3][8]. - The swift expansion of the pharmaceutical sector is generating a corresponding increase in pharmaceutical waste, necessitating efficient waste management strategies [9]. - There is a growing focus on sustainability, with companies under pressure to implement environmentally sustainable waste disposal methods, driven by consumer demand and corporate social responsibility [10]. Technological Innovations - The report highlights cutting-edge technologies and processes that are revolutionizing the waste management landscape, offering increased efficiency, safety, and environmental benefits [6]. Competitive Landscape - The report provides insights on leading players and emerging competitors in the market, including Cardinal Health, Covanta Holding Corporation, and Stericycle, among others [15][6]. Regulatory Environment - The market is influenced by stringent global environmental regulations that require proper disposal of hazardous pharmaceutical waste, presenting growth potential for companies offering innovative waste disposal services [8][6]. - The fragmented regulatory landscape across different geographies complicates standardization of waste management methods, impacting compliance and operational efficiency [13]. Geographical Dominance - North America leads the market due to rigorous environmental legislation and advanced healthcare infrastructure, while Europe is focusing on sustainability and regulatory compliance [14]. - Emerging economies in the Asia-Pacific region are experiencing rapid growth in the pharmaceutical sector, increasing awareness of environmental issues [14].

Core Insights - Parnassus Investments reported strong performance for its Mid Cap Fund in Q3 2025, with a return of 5.49%, slightly outperforming the Russell Midcap Index which returned 5.33% [1] Company Performance - Republic Services, Inc. (NYSE:RSG) is highlighted as a leading environmental services company in the U.S. and Canada, with a one-month return of -0.99% and a 52-week gain of 1.02% [2] - As of January 7, 2026, Republic Services, Inc. shares closed at $209.08, with a market capitalization of $64.72 billion [2] Market Sentiment - The Parnassus Core Equity Fund noted that Republic Services, Inc. faced challenges as market sentiment shifted towards high-growth equities, impacting its stock performance [3] - Despite this, the company demonstrated steady results supported by recurring revenue and strong free cash flow, indicating potential for both secular growth and cyclical upside [3] Hedge Fund Interest - Republic Services, Inc. was held by 51 hedge fund portfolios at the end of Q3 2025, a decrease from 60 in the previous quarter, suggesting a decline in popularity among hedge funds [4] - While the company is recognized for its investment potential, some analysts suggest that certain AI stocks may offer greater upside with less downside risk [4]

Core Insights - LanzaTech Global, Inc. has successfully demonstrated its gas fermentation technology at a municipal solid waste to ethanol pilot plant in Japan, showcasing its ability to process complex waste streams and contribute to a circular carbon economy [1][5] Company Performance - The pilot plant in Kuji City, Japan, has operated for nearly four years and has a capacity to produce approximately 400 tons of ethanol per year [1] - The plant achieved guaranteed performance, maintaining specific ethanol yields above guaranteed values for over 14 consecutive days, marking the most productive fermentation campaign at the site to date [3][7] - The ethanol yield was sustained despite operating on challenging gas mixtures, with CO + H₂ content ranging from 40% to 55% and an H₂:CO ratio between 1.1 and 1.4 [3][7] Technology and Innovation - LanzaTech's fermentation platform has been successfully integrated with traditional gasifier systems, demonstrating adaptability to varied feed gas conditions while meeting key performance targets [4] - The project highlights ongoing innovation in waste conversion technologies and the robustness of LanzaTech's process under diverse operational conditions [4] Strategic Partnerships and Support - The project was funded by a joint venture between Sekisui Chemical and INCJ, along with support from the Japanese Ministry of the Environment [2] - LanzaTech's CEO expressed gratitude for the collaboration with Sekisui Chemical and the support from the Government of Japan, emphasizing the importance of sustainable technologies [5]

Core Viewpoint - Lassila & Tikanoja Plc has reported a transaction involving shares received by a manager as demerger consideration from Luotea Plc, indicating ongoing corporate restructuring and management changes within the company [1][2]. Group 1: Transaction Details - Eero Hautaniemi, the Chief Executive Officer, received 58,572 shares as part of the demerger consideration on December 31, 2025, with a unit price of 0 EUR [2]. - The transaction is categorized as an "OTHER" type, specifically related to the demerger consideration [2]. Group 2: Company Overview - Lassila & Tikanoja is a leading Nordic circular economy company focused on waste management, recycling, hazardous waste services, and water treatment [3]. - The company aims to promote sustainable material use and transform waste into valuable raw materials, employing approximately 2,300 people in Finland and Sweden [3].

Core Viewpoint - Lassila & Tikanoja Plc has reported a transaction involving shares received by a manager as demerger consideration from Luotea Plc, indicating ongoing corporate restructuring activities [1]. Group 1: Transaction Details - Anna-Maria Tuominen-Reini, a member of the Board, received 1,486 shares as part of the demerger consideration on December 31, 2025, with a unit price of 0 EUR [2]. - The transaction is categorized as an "OTHER" type, specifically related to the demerger consideration [2]. Group 2: Company Overview - Lassila & Tikanoja is a leading Nordic circular economy company focused on waste management, recycling, hazardous waste services, and water treatment [3]. - The company aims to promote sustainable material use and transform waste into valuable raw materials, employing approximately 2,300 people in Finland and Sweden [3].

Group 1 - Lassila & Tikanoja Plc has received a notification regarding shares received by a manager as demerger consideration in the partial demerger of Luotea Plc [1] - The transaction involved Sakari Lassila, a member of the Board, who received 27,110 shares with a unit price of 0 EUR as part of the demerger [2] - The company is a leading Nordic circular economy firm focused on waste management, recycling, and promoting sustainable material use [3] Group 2 - Lassila & Tikanoja employs approximately 2,300 people in Finland and Sweden and is listed on Nasdaq Helsinki [3]

Core Viewpoint - Lassila & Tikanoja Plc has reported a transaction involving shares received by a manager as demerger consideration from Luotea Plc, indicating ongoing corporate restructuring and management changes [1][2]. Group 1: Transaction Details - The transaction was notified under Article 19 of the Market Abuse Regulation, highlighting compliance with regulatory requirements [1]. - The transaction involved a total volume of 3,496,487 shares at a unit price of 0 EUR, indicating that the shares were received as part of a demerger process [2]. - The transaction date was recorded as December 31, 2025, and it was categorized as an "OTHER" type of transaction [2]. Group 2: Company Overview - Lassila & Tikanoja is recognized as a leading Nordic circular economy company, focusing on waste management, recycling, and sustainable material use [3]. - The company employs approximately 2,300 people across Finland and Sweden and is listed on Nasdaq Helsinki, reflecting its significant presence in the Nordic market [3].

Core Viewpoint - Lassila & Tikanoja Plc has reported a transaction involving shares received by a manager as demerger consideration from Luotea Plc, indicating ongoing corporate restructuring activities [1]. Group 1: Transaction Details - Tuija Kalpala, a member of the Board, received 1,486 shares as part of the demerger consideration on December 31, 2025, with a unit price of 0 EUR [2]. - The transaction is categorized as an "OTHER" type, specifically related to the demerger consideration [2]. Group 2: Company Overview - Lassila & Tikanoja is a leading Nordic circular economy company focused on waste management, recycling, and promoting sustainable material use [3]. - The company employs approximately 2,300 people in Finland and Sweden and is listed on Nasdaq Helsinki [3].