Waste Management narrowly misses Q2 results on higher expenses

Waste Management

24/07/2024 22:17

July 24 (Reuters) - Waste management firm WM  WM.N 
narrowly missed quarterly profit and revenue estimates on
Wednesday as higher expenses and marginally lower volumes offset
gains from higher prices for garbage collection and disposal.
    WM - which collects, transfers and recycles trash into
clean, renewable energy - was able to sustain high prices due to
the essential nature of its waste management services.
    Expenses in the quarter rose 5.2% year-over-year for the
company. 
    Meanwhile, volume in the WM's largest segment, collection
and disposal, which accounted for 92% of the company's revenue
in 2023, declined 0.3%.
    The Texas-based company posted a quarterly adjusted profit
of $1.82 per share, compared to analysts' average expectation of
$1.83 per share, according to LSEG data.
    WM and Republic Services  RSG.N  are two major companies —
apart from municipal waste departments — that dominate garbage
collection in large parts of the United States.
    Its total revenue in the quarter ended June 30 rose about
5.5% to $5.40 billion. Analysts expected a revenue of $5.43
billion. 
    Shares of the company were down 5% in extended trading. 

 (Reporting by Pratyush Thakur and Aishwarya Jain in Bengaluru;
editing by Tasim Zahid and Alan Barona)
 ((pratyush.thakur@thomsonreuters.com;))