Companies /Industrials

Waste Management Inc

NYSE: WM Waste Management
$218.17
▼ $3.07 (−1.39%) today
Markets open · 1:19pm ET

Q2 2025 Earnings

Reported Jul 28, 2025, 4:33pm ET · SEC source
$1.92
Beat +1.61%
EPS · est. $1.89
$6.4B
Beat +1.08%
Revenue · est. $6.4B
−6.8%
Trailing market
WM vs S&P since report
2 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−2%0+2%Jul 28Jul 29report 4:33pm ETearnings−0.2%+1.6%
−2%0+2%Jul 28Jul 29earnings−0.2%+1.6%
WM +1.6%S&P 500 −0.2%
−2%0+2%Jul 28Jul 29report 4:33pm ETearnings−0.2%+1.6%
−2%0+2%Jul 28Jul 29earnings−0.2%+1.6%
WM +1.6%NASDAQ −0.2%
−3%0+3%Jul 28Aug 5report 4:33pm ETearnings−1.4%+0.3%
−3%0+3%Jul 28Aug 5earnings−1.4%+0.3%
WM +0.3%S&P 500 −1.4%
−3%0+3%Jul 28Aug 5report 4:33pm ETearnings−1.7%+0.3%
−3%0+3%Jul 28Aug 5earnings−1.7%+0.3%
WM +0.3%NASDAQ −1.7%
+3.36%
Day of report
−1.29%
Next session
−2.45%
One week
−4.66%
30 days

S&P 500 over the same 30 days: +2.15%.

Did WM Beat Earnings? Q2 2025 Results

Waste Management delivered a solid second quarter, posting earnings per share of $1.92 against a consensus estimate of $1.8896 — a 1.61% beat — while revenue of $6.43 billion edged past the $6.36 billion estimate by 1.08% and rose 19.0% year-over-year, lifted in part by the acquired Stericycle healthcare business. The standout driver of the quarter was an all-time-best operating expense margin in WM's Collection and Disposal segment, where adjusted operating expenses fell to 59.4% of revenue — a 150-basis-point improvement — fueled by stronger driver retention, routing technology gains, and the deliberate exit from low-margin residential contracts. The Stericycle integration also contributed $110 million in adjusted operating EBITDA, with management now targeting the upper end of its $80–$100 million synergy range for 2025 and a $300 million run-rate by 2027. Looking ahead, WM narrowed its full-year adjusted operating EBITDA guidance to $7.48–$7.63 billion and raised free cash flow guidance by $125 million to $2.80–$2.90 billion, even as <a href="https://247wallst.com/investing/2025/10/27/waste-management-wm-stock-drops-after-earnings/">shares came under pressure</a> following the report.

Key Takeaways
  • Core price of 6.4% and Collection and Disposal yield of 4.1%
  • Best-ever operating expense margin in Collection and Disposal business
  • Adjusted operating EBITDA for WM Legacy Business grew 12.1%
  • Collection and Disposal volumes grew 1.6% with robust landfill volume growth
  • 150 basis point improvement in adjusted operating expenses as percentage of revenue for WM Legacy Business
  • Improved driver turnover and safety performance
  • Routing technology benefits
  • Strategic exit from low-margin residential collection business
  • Capital investments in fleet

“As we described at our recent Investor Day, WM is building distinctive platforms to drive competitive differentiation and fuel a powerful, long-term growth engine to create shareholder value. Our second quarter results are a strong demonstration of our progress on all fronts.”

Waste Management CEO, on the earnings call

Forward Guidance & Outlook

WM affirmed its full-year adjusted operating EBITDA guidance midpoint of $7.550 billion, narrowing the range to $7.475–$7.625 billion. Free cash flow guidance was raised by $125 million to $2.8–$2.9 billion, driven by restored 100% bonus depreciation. Total company revenue is now expected at $25.275–$25.475 billion, lower than prior expectations due to declining recycled commodity prices and Q1 weather-related volume impacts. Adjusted operating EBITDA margin is now expected at 29.6%–29.9%, up from prior guidance of 29.2%–29.7%. The company expects blended single stream recycled commodity prices of about $80 per ton for full-year 2025, down from prior expectation of $85 per ton. WM Healthcare Solutions run-rate synergies are expected to total $300 million of operating EBITDA by 2027.

WM YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$2.0B$4.0B$6.0B$5.4B$6.4BRevenue$1.1B$1.2BOperating Income$680.0M$726.0MNet Income
$0$2.0B$4.0B$6.0BRevenueOperating IncomeNet Income

WM Revenue by Segment

Collection and Disposal$5.3B
Commercial Collection$1.4B
Landfill$1.0B
Residential Collection$872.0M
Industrial Collection$790.0M
Other Collection$796.0M
WM Healthcare Solutions$646.0M
Healthcare Solutions

Figures from SEC filings and company reports. Not investment advice.