01—Abstract
Summary
Summary of the 10-Q filed October 22, 2026. Cited figures are marked; the original filing is the authoritative source.
Waste Connections, Inc. reported third-quarter 2026 revenues of $2.638 billiona, up from $2.458 billion a year earlier, and net income of $359.2 million, or $1.43 per diluted share, versus $286.3 million, or $1.11, in the prior-year quarter.
Operating income rose to $541.7 millionb from $439.6 million. For the nine months, revenues were $7.570 billion and net income was $874.97 million ($3.45 per diluted share). The filing attributes revenue growth mainly to price increases, acquisitions and higher E&P waste revenues, partly offset by volume losses of $54.8 million in the quarter.
Adjusted EBITDA was $895.8 millionc for the quarter and $2.505 billion for the nine months, per the non-GAAP reconciliation in the filing. Balance sheet and capital allocation show continued leverage and shareholder returns. Long-term debt rose to $9.427 billion at September 30, 2026, from $8.811 billion at year-end 2025, driven by the March 2026 issuance of $600.0 million of 4.80% notes due 2036 and August 2026 Canadian-dollar notes.
The company repurchased $944.4 milliond of common shares in the first nine months and paid $265.5 million in dividends. On October 21, 2026, the board raised the quarterly dividend to $0.385 per share from $0.350. Operating cash flow was $1.971 billion for the nine months, against capital expenditures for property and equipment of $893.7 million.
Legal and environmental exposure remains significant. The Chiquita Canyon Landfill matters, including roughly 14,000 civil plaintiffs, multiple regulatory notices of violation and a county injunction case, are described as having no determinable likelihood of outcome or reasonably estimable loss.
The Jefferson Parish odor litigation is similarly unestimable. The company also recorded $132.0 million of net losses from adjustments to closure and post-closure liabilities in the first nine months of 2026.
02—Key points
Key Highlights
- Q3 2026 revenue of $2.638 billion, up from $2.458 billion; net income of $359.2 million ($1.43 diluted EPS) versus $286.3 million ($1.11) a year earlier
- Nine-month 2026 revenue of $7.570 billion and net income of $874.97 million ($3.45 diluted EPS)
- Operating income of $541.7 million in Q3 2026 versus $439.6 million, with impairments and other operating items falling to $1.9 million from $60.1 million
- Long-term debt increased to $9.427 billion from $8.811 billion at December 31, 2025, including $600.0 million of 4.80% notes due 2036 issued in March 2026
- Repurchased $944.4 million of common shares in the first nine months of 2026; quarterly dividend raised to $0.385 per share, declared October 21, 2026
- Chiquita Canyon Landfill litigation and regulatory matters, with about 14,000 civil plaintiffs, are described as having no estimable loss range
- Nine-month operating cash flow of $1.971 billion versus $1.857 billion in 2025
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q3 FY2026, Waste Connections kept $0.14.
- Revenue$2.64B100.0%
- Cost of revenue−$1.50B56.9%
- Gross profit$1.14B43.1%
- Operating costs−$595.2M22.6%
- Operating income$541.7M20.5%
- Interest, other & tax−$182.5M6.9%
- Net income$359.2M13.6%
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed October 22, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $2.64B$2.46B | +7.3% |
| Cost of Revenue | $1.50B$1.41B | +6.7% |
| Gross Profit | $1.14B$1.05B | +8.1% |
| SG&A Expenses | $253.93M$236.48M | +7.4% |
| Operating Income | $541.75M$439.59M | +23.2% |
| Net Income | $359.22M$286.27M | +25.5% |
| EPS (Basic) | $1.43$1.11 | +28.8% |
| EPS (Diluted) | $1.43$1.11 | +28.8% |
| Shares Outstanding (Basic) | 251.34M256.95M | −2.2% |
| Shares Outstanding (Diluted) | 251.87M257.58M | −2.2% |
05—Questions
Frequently Asked Questions
How did Waste Connections perform in the third quarter of 2026?
Revenues rose 7.3% to $2.638 billion, and net income increased to $359.2 million from $286.3 million. Diluted EPS was $1.43 compared with $1.11. Operating income grew to $541.7 million from $439.6 million, helped by price increases, acquisitions and lower impairments.
What drove the revenue growth?
The company cited a net price increase of $153.4 million in the quarter, including $123.7 million of core price increases, plus acquisitions adding $53.9 million and E&P waste revenue gains. These were partly offset by $54.8 million of volume losses in roll off and commercial collection.
How much debt did the company take on and what is its liquidity position?
Long-term debt was $9.427 billion at September 30, 2026. The Revolving Credit Agreement had $1.929 billion drawn, with $948.5 million available, and it matures February 27, 2029. The company also issued $600.0 million of 4.80% notes due 2036 in March 2026 and CAD $700 million of notes in August 2026. The filing reports a working capital deficit of $717.8 million.
What are the main legal and environmental risks disclosed?
The most significant risks relate to the Chiquita Canyon Landfill, where the company faces about 14,000 civil plaintiffs, hundreds of notices of violation, a county public nuisance suit seeking an injunction and penalties, and state and federal regulatory actions. The company states it cannot determine the likelihood of outcome or reasonably estimate a loss range in these matters.
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