From Yahoo Finance: 2025-04-29 09:07:00

Waste Management (WM) reported a strong first quarter in 2025, exceeding expectations despite weather challenges. CEO Jim Fish noted little impact on the rest of the year’s results, with strong performance in collection and disposal. WM also reaffirmed its full-year guidance.

WM Healthcare Solutions, formed from the acquisition of Stericycle, made progress in integration, contributing $95 million in Q1. The segment aims for $80-100 million in synergies in 2025. WM plans to spend over $500 million on solid waste acquisitions this year.

Capital expenditures for WM were $831 million in the quarter, with no immediate impact expected from recent tariff uncertainty. The company is well-prepared to complete sustainability growth investments. Revenue growth in Q1 was driven by a core price increase of 6.5%.

Cleanup from California wildfires boosted special waste volumes in Q1, offset by winter weather impacts elsewhere. Volumes from wildfire cleanup are expected to continue through at least the end of Q3. WM’s recycled commodity prices saw a positive effect in Q1.

WM opened two new MRFs in Q1 and plans for seven more “next gen” facilities in 2025. The company also reopened an MRF in Maryland with new automation features. Combined operating EBITDA from recycling and renewable energy grew over 20% year over year.

Labor challenges and outlook for disposal options prompt solid waste companies to sell, said COO John Morris. WM maintained its 2025 core price outlook and expects to complete eight more RNG facilities by the end of the year. RIN pricing remains in the “low 20s” awaiting decisions on the Renewable Fuel Standard.

Read more: WM says tariffs unlikely to affect RNG, MRF plans for 2025