Summary
Republic Services, Inc.'s 2016 10-K filing details a company focused on strategic growth and operational efficiency within the competitive non-hazardous solid waste services industry. The company emphasizes its 'Five Pillars of Strategy'—market position, operating model, people and talent agenda, customer zeal, and digital platform—as drivers for profitable growth. Republic's extensive operations span 39 states and Puerto Rico, supported by a robust network of collection operations, transfer stations, landfills, and recycling centers. The company is actively investing in fleet automation and the transition to compressed natural gas (CNG) vehicles to enhance efficiency and environmental sustainability. Acquisitions remain a key growth driver, with a stated annual investment of approximately $100 million, complemented by a focus on organic growth through volume and price increases. The company is also committed to returning value to shareholders through dividends and share repurchases, underscoring its financial discipline and commitment to long-term shareholder value creation.
Financial Highlights
54 data points| Revenue | $9.39B |
| Cost of Revenue | $5.76B |
| Gross Profit | $3.62B |
| SG&A Expenses | $969.80M |
| Operating Income | $1.54B |
| Interest Expense | $371.30M |
| Net Income | $612.59M |
| EPS (Basic) | $1.79 |
| EPS (Diluted) | $1.78 |
| Shares Outstanding (Basic) | 343.02M |
| Shares Outstanding (Diluted) | 344.39M |
Key Highlights
- 1Republic Services is the second-largest provider of non-hazardous solid waste collection, transfer, recycling, disposal, and energy services in the United States.
- 2The company's strategy, 'Profitable Growth through Differentiation,' is built on five key pillars: market position, operating model, people and talent agenda, customer zeal, and digital platform.
- 3Operations are conducted across 39 states and Puerto Rico, utilizing a network of 333 collection operations, 204 transfer stations, 192 active landfills, and 64 recycling centers.
- 4Significant investment in fleet automation (74% of residential routes automated) and a gradual conversion to Compressed Natural Gas (CNG) vehicles are underway to improve efficiency and reduce emissions.
- 5The company maintains a disciplined acquisition strategy, with a steady pace of tuck-in acquisitions expected to be around $100 million annually, alongside flexibility for larger strategic acquisitions.
- 6Republic Services is committed to enhancing shareholder value through a consistent dividend increase (7% in 2016) and a robust share repurchase program.
- 7The company highlights its strong safety record, noting it has been 41% better than the industry average over the past nine years, and drivers have won 75% of NWRA Driver of the Year awards since 2009.