Republic Services 8-K
PositiveEarningsNew guidance
Core price increases and cost control lifted margins despite lower volumes and declining environmental solutions revenue.
Filed 2026-02-17 16:06 ET
- 2.02 Results of Operations
- 7.01 Regulation FD Disclosure
- 9.01 Financial Statements and Exhibits
Summary
Q4 and FY2025 results with FY2026 guidance. Revenue, net income and diluted EPS increased in both periods; management cited healthy pricing and cost control amid cyclical demand headwinds. For FY2026, Republic expects revenue of $17.05B-$17.15B and adjusted diluted EPS of $7.20-$7.28, based on current economic conditions.
Key Figures
| Metric | Q4 2025 | Q4 2024 | Y/Y |
|---|---|---|---|
| Revenue | $4.14B | $4.05B | +2.2% |
| Operating income | $800M | $803M | -0.4% |
| Net income attributable to Republic Services, Inc. | $545M | $512M | +6.4% |
| Adjusted net income attributable to Republic Services, Inc. (non-GAAP) | $547M | $497M | +10.1% |
| Diluted EPS | $1.76 | $1.63 | +8.0% |
| Adjusted diluted EPS (non-GAAP) | $1.76 | $1.58 | +11.4% |
| Metric | FY2025 | FY2024 | Y/Y |
|---|---|---|---|
| Revenue | $16.6B | $16.0B | +3.5% |
| Operating income | $3.30B | $3.20B | +3.3% |
| Net income attributable to Republic Services, Inc. | $2.14B | $2.04B | +4.7% |
| Adjusted net income attributable to Republic Services, Inc. (non-GAAP) | $2.19B | $2.03B | +7.9% |
| Diluted EPS | $6.85 | $6.49 | +5.5% |
| Adjusted diluted EPS (non-GAAP) | $7.02 | $6.46 | +8.7% |
| Cash provided by operating activities | $4.30B | $3.94B | +9.2% |
| Adjusted free cash flow (non-GAAP) | $2.43B | $2.18B | +11.5% |
- Revenue growth was supported by core price increases of 5.8% in Q4 and 5.9% for FY2025; volume declined 1.0% and 0.6%, respectively. Environmental solutions organic revenue declined 2.0% in Q4 and 1.0% for the year.
- FY2025 adjusted EBITDA was $5.31B, with a 32.0% margin, up 90 bp Y/Y. The company invested $1.1B in acquisitions and returned $1.6B to shareholders: $854M in repurchases and $738M in dividends.
- FY2025 share repurchases were 4.0M shares; weighted-average diluted shares declined to 312.2M from 314.8M.
Guidance
| Metric | Period | Guidance | Prior | Direction |
|---|---|---|---|---|
| Revenue | FY2026 | $17.05B-$17.15B | — | — |
| Average yield on total revenue; volume change on total revenue | FY2026 | 3.2%-3.7%; ≈1.0% decline | — | — |
| Average yield on related business revenue | FY2026 | 4.0%-4.5% | — | — |
| Net income attributable to Republic Services, Inc. (GAAP) | FY2026 | $2.20B-$2.22B | — | — |
| Adjusted EBITDA (non-GAAP) | FY2026 | $5.475B-$5.525B | — | — |
| Diluted EPS (GAAP) | FY2026 | $7.14-$7.22 | — | — |
| Adjusted diluted EPS (non-GAAP) | FY2026 | $7.20-$7.28 | — | — |
| Cash provided by operating activities | FY2026 | $4.46B-$4.54B | — | — |
| Adjusted free cash flow (non-GAAP) | FY2026 | $2.520B-$2.560B | — | — |
| Acquisitions | FY2026 | ≈$1B investment; ≈$400M invested as of 2/17/2026 | — | — |
Investor Takeaways
- Track FY2026 revenue and adjusted EPS against the guided ranges; the outlook assumes no significant change in the overall economy.
- Watch pricing, volume and cost performance: management expects continued pricing in excess of cost inflation and steady productivity gains.
- Acquisition investment is expected to reach ≈$1B in 2026; progress beyond the ≈$400M invested by 2/17/2026 will indicate how the plan is unfolding.
The summary is written by an AI model reading the filing.
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