01—Abstract
Summary
Summary of the 10-K filed February 12, 2026. Cited figures are marked; the original filing is the authoritative source.
Waste Connections, Inc. is the third largest solid waste services company in North America, providing non-hazardous waste collection, transfer and disposal, recycling and renewable fuels generation across 46 U.S. states and six Canadian provinces, plus E&P waste treatment and intermodal services.
For 2025, revenues rose 6.1% to $9.467 billiona from $8.920 billion, with price-led internal growth; net income attributable to Waste Connections increased 74% to $1.077 billion, largely because impairments and other operating items fell to $109.7 million from $613.0 million. Adjusted EBITDA increased 7.7% to $3.125 billion, and adjusted EBITDA margin rose to 33.0% from 32.5%. Cash flow from operations reached $2.414 billion, funding $1.179 billion of property and equipment capital expenditures, $966.8 million of net-fair-value acquisitions (19 deals), and $839.3 million of shareholder distributions through $333.8 million of dividends and $505.5 million of share repurchases.
The Leverage Ratio rose nominally to 2.75x from 2.67x, and total indebtedness was $8.889 billionb at year end. The company expects 2026 capital expenditures of approximately $1.250 billion and approved a quarterly dividend of $0.35 per share.
Key risks disclosed include ongoing litigation and regulatory actions at the Chiquita Canyon Landfill, which ceased active waste disposal at December 31, 2024, and a Jefferson Parish odor litigation. The filing also notes that the company cannot currently determine the likelihood or range of loss for several of these matters, that PFAS and methane regulation may increase costs, and that roughly 16%c of the workforce is covered by collective bargaining agreements.
02—Key points
Key Highlights
- Revenue grew 6.1% to $9.467 billion in 2025; excluding acquisitions, revenues increased 1.9%, with solid waste internal growth of 2.3% driven by 6.4% pricing growth.
- Net income attributable to Waste Connections rose 74% to $1.077 billion, principally because impairments and other operating items decreased to $109.7 million from $613.0 million.
- Adjusted EBITDA increased 7.7% to $3.125 billion, and adjusted EBITDA margin increased to 33.0% from 32.5%.
- Operating cash flow was $2.414 billion, and capital expenditures for property and equipment were $1.179 billion; 2026 capital expenditures are expected to be approximately $1.250 billion.
- The company returned $839.3 million to shareholders in 2025 through $333.8 million of cash dividends and $505.5 million of share repurchases (2.8 million shares); quarterly dividend was raised 11.1% to $0.350 in October 2025.
- Leverage Ratio increased nominally to 2.75x at December 31, 2025 from 2.67x; total indebtedness was $8.889 billion, with $581.1 million of remaining revolver capacity.
- Chiquita Canyon Landfill litigation, regulatory actions and a County of Los Angeles lawsuit remain unresolved; the company cannot currently determine the likelihood of outcome or estimate possible loss for these matters.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Waste Connections kept $0.11.
- Revenue$9.47B100.0%
- Cost of revenue−$5.46B57.6%
- Gross profit$4.01B42.4%
- Operating costs−$2.30B24.3%
- Operating income$1.71B18.1%
- Interest, other & tax−$633.6M6.7%
- Net income$1.08B11.4%
Where FY2025 revenue went
$9.47B- Cost of revenue: $5.46B, 58% of revenue
- Other operating costs: $1.34B, 14% of revenue
- Net income: $1.08B, 11% of revenue
- SG&A: $959.5M, 10% of revenue
- Interest, other & tax: $633.6M, 6.7% of revenue
Kept 11% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 12, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $9.47B$8.92B | +6.1% |
| Cost of Revenue | $5.46B$5.19B | +5.1% |
| Gross Profit | $4.01B$3.73B | +7.6% |
| SG&A Expenses | $959.54M$883.45M | +8.6% |
| Operating Income | $1.71B$1.07B | +60.2% |
| Net Income | $1.08B$616.57M | +74.6% |
| EPS (Basic) | $4.18$2.39 | +74.9% |
| EPS (Diluted) | $4.17$2.39 | +74.5% |
| Shares Outstanding (Basic) | 257.32M257.97M | −0.2% |
| Shares Outstanding (Diluted) | 257.98M258.66M | −0.3% |
05—Questions
Frequently Asked Questions
How did Waste Connections perform financially in 2025?
Revenues increased 6.1% to $9.467 billion from $8.920 billion. Operating income rose to $1.710 billion from $1.068 billion, mainly because impairments declined, and net income attributable to Waste Connections increased 74% to $1.077 billion. Diluted EPS was $4.17 versus $2.39 in 2024, and adjusted net income per diluted share was $5.15 versus $4.79.
What drove revenue growth and pricing?
Price increases were the main driver: the net increase in prices at existing operations was $526.6 million, with core price increases of $537.0 million. Acquisitions added $387.9 million of revenue, while volume losses of $238.0 million partially offset growth as the company shed lower-margin residential and municipal contracts.
What is the company's capital allocation strategy?
In 2025 the company spent $966.8 million (net fair value) on 19 acquisitions, $1.179 billion on property and equipment capital expenditures, and returned $839.3 million to shareholders. The NCIB allows repurchases of up to 12,855,691 shares through August 11, 2026, and the company targets a Leverage Ratio of approximately 2.5x to 3.0x.
What are the main legal and environmental risks?
The Chiquita Canyon Landfill, which ceased active waste disposal as of December 31, 2024, faces civil lawsuits with approximately 11,700 plaintiffs, regulatory notices from SCAQMD, the Water Board and DTSC, and a County of Los Angeles lawsuit seeking injunctive relief. The company states it cannot currently determine the likelihood of outcome or estimate possible loss in these matters. A separate Jefferson Parish odor mass action was filed in June 2025 on behalf of approximately 1,600 plaintiffs.
What is the outlook for 2026 dividends and capital spending?
On February 11, 2026, the board approved a regular quarterly cash dividend of $0.35 per share, payable March 12, 2026. The company expects 2026 capital expenditures for property and equipment of approximately $1.250 billion, to be funded principally through cash on hand, internally generated funds and revolver borrowings.
06—Continue