Clean Harbors Q2 revenue misses estimates, keeps FY forecast
Overview
Clean Harbors Q2 revenue flat at $1.55 bln, missing analyst expectations
Adjusted EBITDA of $336.2 mln beats estimates, margin improves 60 bps
Environmental Services segment shows growth in revenue and EBITDA
Outlook
Clean Harbors expects Q3 Adjusted EBITDA to grow 9-12% year-over-year
Company reiterates full-year 2025 Adjusted EBITDA guidance of $1.16 bln to $1.20 bln
Clean Harbors projects 2025 adjusted free cash flow of $430 mln to $490 mln
Company sees healthy demand and substantial project pipeline in ES segment
Result Drivers
ENVIRONMENTAL SERVICES - Segment achieved 3% revenue growth due to strong demand for disposal assets and pricing strategies
INCINERATION PERFORMANCE - Facilities maximized throughput with 89% utilization, excluding new Kimball incinerator
SAFETY-KLEEN STABILITY - Waste oil collection strategies and higher charge-for-oil pricing supported segment stabilization
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $1.55 bln | $1.59 bln (9 Analysts) |
Q2 EPS |
| $2.36 |
|
Q2 Net Income |
| $126.90 mln |
|
Q2 Adjusted EBITDA | Beat | $336.20 mln | $334 mln (9 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "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 Clean Harbors Inc is $255.00, about 6.6% above its July 29 closing price of $238.29
The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 25 three months ago
Press Release: ID:nBw7FMRS2a
