Waste Connections Q2 revenue beats estimates, co raises FY guidance

Waste Connections

22/07/2026 21:21

    

    Overview
  
North America solid waste firm's Q2 revenue rose 6.4%, beating analyst expectations
Adjusted net income and adjusted EBITDA increased year-over-year
Company raised full-year 2026 outlook for revenue and adjusted EBITDA

    

    Outlook
  
Waste Connections raises 2026 revenue outlook to $10.02 bln-$10.05 bln
Company sees 2026 adjusted EBITDA of $3.33 bln-$3.34 bln
Company expects 2026 net income of $1.169 bln-$1.173 bln and capex of about $1.25 bln

    

    Result Drivers
  
OPERATIONAL EXECUTION - Co said strong operational execution led to margin expansion despite cost pressures from higher fuel costs and lower commodity values
PRICING INITIATIVES - Revenue growth was driven by price increases, with solid waste yield up 4.6% and surcharges contributing 1.1%
ACQUISITIONS - Acquisitions closed during or after the prior period contributed $45.8 mln in Q2 revenue

    
Company press release: ID:nBw9Y6SkCa

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Revenue
Beat
$2.56 bln
$2.53 bln (14 Analysts)
Q2 Adjusted Net Income
 
$381.70 mln
 
Q2 Net Income
 
$296.40 mln
 
Q2 Adjusted EBITDA
 
$840.10 mln
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the environmental services & equipment peer group is "buy"
Wall Street's median 12-month price target for Waste Connections, Inc is C$273.80, about 15.4% above its July 21 closing price of C$237.25
The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 29 three months ago

    

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)