Business
WM Announces Second Quarter 2025 Earnings
HOUSTON, July 28, 2025--WM (NYSE: WM) today announced financial results for the quarter ended June 30, 2025.
About this update from Waste Management, Inc.
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(a) ","length":281,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":560,"olType":false},{"type":"table","headerItems":[],"items":[{"val":[{"colspan":"1","rowspan":"1","style":"padding-left:0.0px;border-bottom:solid black 1.0pt;width:100%;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]}],"length":6},{"type":"text","content":" Cash Flow and Investments ","length":25,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Through the first six months of the year, the Company generated $2.75 billion of net cash provided by operating activities, driven by strong operating EBITDA growth partially offset by higher cash interest related primarily to the funding of the Stericycle acquisition.","length":269,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Free cash flow in the first half of the year was $1.29 billion, driven by robust operating EBITDA growth partially offset by a planned increase in capital expenditures. (a) ","length":171,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":440,"olType":false},{"type":"table","headerItems":[],"items":[{"val":[{"colspan":"1","rowspan":"1","style":"padding-left:0.0px;border-bottom:solid black 1.0pt;width:100%;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]}],"length":6},{"type":"text","content":" Sustainability and WM Healthcare Solutions Update ","length":49,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"The Company continues to progress its strategic investments in recycling and renewable natural gas facilities that drive economic and environmental value. During the quarter, three growth projects commenced operations, including a new renewable natural gas facility in Illinois, a recycling automation project in Pennsylvania and a new market recycling facility in Oregon. These additions bring total renewable natural gas projects completed to eight out of 20 planned facilities and total recycling automation and new market projects completed to 29 out of 39 planned.","length":569,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Integration of WM Healthcare Solutions continues to advance, and as announced during the June Investor Day, the Company has identified $50 million of operating EBITDA opportunities from cross-selling solid waste and medical waste solutions to existing customers, with $11 million of annualized operating EBITDA already secured. Including the cross-selling opportunities, anticipated run-rate synergies are expected to total $300 million of operating EBITDA by 2027.","length":465,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":1034,"olType":false},{"type":"table","headerItems":[],"items":[{"val":[{"colspan":"1","rowspan":"1","style":"padding-left:0.0px;border-bottom:solid black 1.0pt;width:100%;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]}],"length":6},{"type":"text","content":" 2025 Outlook ","length":12,"tagName":"p"},{"type":"text","content":"With two quarters of the year complete, the Company is confident in its ability to deliver upon its full-year outlook for adjusted operating EBITDA and is positioned to deliver free cash flow in excess of its initial target.","length":224,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"The Company delivered adjusted operating EBITDA in the first six months of the year in line with its expectations and initial guidance. The Company is affirming its adjusted operating EBITDA guidance midpoint of $7.550 billion and narrowing its range slightly to $7.475 and $7.625 billion. (a) ","length":292,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Free cash flow is now projected to be between $2.8 and $2.9 billion, an increase of $125 million from the Company’s initial guidance. (a) The increase in the free cash flow outlook is driven by recently enacted tax policy that restores bonus depreciation to 100%.","length":262,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Total Company revenue is now expected to be between $25.275 and $25.475 billion. The decrease from prior expectations is primarily related to the recent decline in recycled commodity prices which has an outsized impact on the Company’s low-margin recycling brokerage business, as well as the impacts of a decline in certain Collection and Disposal volumes in the first quarter of 2025 due to the particularly harsh winter weather. (g) ","length":433,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Adjusted operating EBITDA margin is now expected to be between 29.6% and 29.9%, an increase from the prior guidance of between 29.2% and 29.7%. (a) ","length":146,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":1133,"olType":false},{"type":"text","content":"Fish concluded, "We set a high bar in 2025, and through the first half of the year we have met those high expectations. Our team is focused on serving our customers, optimizing our costs, and innovating to support differentiation and growth. Executing on these priorities is expected to drive strong results in the back half of 2025 and position us to deliver on our guidance, achieve attractive returns on investments and grow shareholder value."","length":457,"tagName":"p"},{"type":"table","headerItems":[],"items":[{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;border-top:solid black 1.0pt;","val":[{"type":"text","content":"(a)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","style":"border-top:solid black 1.0pt;","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;border-top:solid black 1.0pt;","val":[{"type":"text","content":"The information labeled as adjusted in this press release, as well as free cash flow, are non-GAAP measures. Please see "Non-GAAP Financial Measures" below and the reconciliations in the accompanying schedules for more information.","length":241,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(b)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"Management defines operating EBITDA as GAAP income from operations before depreciation, depletion and amortization; this measure may not be comparable to similarly titled measures reported by other companies.","length":208,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(c)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"For purposes of this press release, all references to "Net income" refer to the financial statement line item "Net income attributable to Waste Management, Inc."","length":181,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(d)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"Management defines WM Legacy Business as total Company GAAP results excluding the WM Healthcare Solutions segment.","length":114,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(e)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"Core price is a performance metric used by management to evaluate the effectiveness of our pricing strategies; it is not derived from our financial statements and may not be comparable to measures presented by other companies. Core price is based on certain historical assumptions, which may differ from actual results, to allow for comparability between reporting periods and to reveal trends in results over time.","length":415,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(f)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"The Company’s blended average price received for single stream recycled commodities sold during the quarter was about $82 per ton compared to about $96 per ton in the prior year period. The average price received for Renewable Fuel Standard credits was $2.53 during the quarter compared to $3.11 in the prior year period. The average price received for natural gas was $2.81 per MMBtu during the quarter compared to $1.64 per MMBtu in the prior year period. The average price received for renewable electricity was about $67 per megawatt hour in the quarter compared to about $64 per megawatt hour in the prior year period.","length":623,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":" ","length":6,"tagName":"p","attribs":{}}]}]},{"val":[{"colspan":"1","rowspan":"1","style":"text-align:left;vertical-align:top;","val":[{"type":"text","content":"(g)","length":3,"tagName":"p","attribs":{}}]},{"colspan":"1","rowspan":"1","val":[]},{"colspan":"1","rowspan":"1","style":"vertical-align:top;padding-left:0.0px;","val":[{"type":"text","content":"The Company now expects the blended average price received for single stream recycled commodities sold during 2025 to be about $80 per ton, down from its prior full year expectation of $85 per ton.","length":197,"tagName":"p","attribs":{}}]}]}],"length":2036},{"type":"text","content":"The Company will host a conference call at 10 a.m. ET on July 29, 2025, to discuss the Second Quarter 2025 results. Information contained within this press release will be referenced and should be considered in conjunction with the call.","length":237,"tagName":"p"},{"type":"text","content":"Listeners can access a live audio webcast of the conference call by visiting investors.wm.com and selecting "Events & Presentations" from the website menu. A replay of the audio webcast will be available at the same location following the conclusion of the call.","length":276,"tagName":"p"},{"type":"text","content":"Conference call participants should register to obtain their dial in and passcode details. This streamlined process improves security and eliminates wait times when joining the call.","length":182,"tagName":"p"},{"type":"text","content":" ABOUT WM ","length":8,"tagName":"p"},{"type":"text","content":"WM ( WM.com ) is North America's leading provider of comprehensive environmental solutions. Previously known as Waste Management and based in Houston, Texas, WM is driven by commitments to put people first and achieve success with integrity. The company, through its subsidiaries, provides collection, recycl...
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