Summary
Republic Services, Inc. (RSG) reported a strong second quarter for 2021, demonstrating significant revenue growth and improved profitability compared to the same period in the prior year. Revenue increased by 14.6% year-over-year, driven by robust volume growth across key business segments and favorable pricing. Net income attributable to Republic Services, Inc. saw a substantial rise of 46.8%, reaching $331.1 million ($1.03 per diluted share) from $225.5 million ($0.71 per diluted share) in the second quarter of 2020. This performance reflects the company's ability to capitalize on recovering economic activity and effectively manage operational costs. The company's operational efficiency is highlighted by an improved operating margin, which rose to 18.4% from 16.1% in the prior year's quarter. This enhancement is attributed to strong revenue growth outpacing cost increases, particularly in the Group 1 and Group 2 segments. Republic Services also continued its strategic acquisition activities, contributing to revenue growth. The company reaffirmed its full-year 2021 adjusted diluted earnings per share guidance, indicating confidence in its ongoing performance and strategic direction.
Financial Highlights
53 data points| Revenue | $2.81B |
| Cost of Revenue | $1.65B |
| Gross Profit | $1.16B |
| SG&A Expenses | $315.80M |
| Operating Income | $517.90M |
| Interest Expense | $78.40M |
| Net Income | $331.06M |
| EPS (Basic) | $1.04 |
| EPS (Diluted) | $1.03 |
| Shares Outstanding (Basic) | 319.53M |
| Shares Outstanding (Diluted) | 320.04M |
Key Highlights
- 1Revenue for the second quarter of 2021 increased by 14.6% to $2.81 billion compared to $2.45 billion in the second quarter of 2020.
- 2Net income attributable to Republic Services, Inc. rose significantly to $331.1 million, or $1.03 per diluted share, up from $225.5 million, or $0.71 per diluted share, in the prior year's quarter.
- 3Operating income grew by 30.9% to $517.9 million, with the operating margin improving to 18.4% from 16.1% year-over-year.
- 4The company experienced strong volume growth across landfill, transfer station, and collection businesses, indicating recovery and increased economic activity.
- 5Acquisitions contributed 2.0% to revenue growth in the second quarter, aligning with the company's ongoing expansion strategy.
- 6Republic Services reiterated its full-year 2021 adjusted diluted earnings per share guidance of $4.00 to $4.05, signaling confidence in sustained performance.