How did Waste Connections perform in the fourth quarter of 2025?

Revenue was $2.373 billion, up from $2.260 billion. Operating income was $420.8 million, compared with an operating loss of $199.2 million a year earlier that included $602.4 million in impairments and landfill-related adjustments. Net income attributable to Waste Connections was $258.5 million, or $1.01 per diluted share, and adjusted EBITDA was $795.6 million.

What does the company expect for 2026?

The company expects revenue of $9.90–$9.95 billion, net income of $1.223–$1.238 billion, adjusted EBITDA of $3.300–$3.325 billion, and net cash provided by operating activities of $2.65–$2.70 billion. Capital expenditures are estimated at approximately $1.25 billion, and adjusted free cash flow at $1.40–$1.45 billion. The outlook assumes no change in the current economic environment and excludes expensing of transaction-related items.

What drove the margin improvement?

Management attributed the adjusted EBITDA margin expansion to price-led organic growth in solid waste and ongoing improvements in operating trends. It also cited declining employee turnover and safety incident rates, which the company said provided benefits through cost savings, productivity and customer service.

How much capital did the company return to shareholders and how much did it acquire?

In 2025 the company returned a record $839.3 million to shareholders, including share repurchases of over $500 million. It completed acquisitions with approximately $330 million in annualized revenue. Cash flow statements show $505.5 million in share repurchase payments and $333.8 million in dividend payments for 2025.

What upside could affect the 2026 outlook?

The release lists upside from additional acquisitions, improvement in commodity prices, or increases in macroeconomic activity. Management also referenced commodities approaching historical cyclical lows as a possible source of improvement.

WCN 8-K: Earnings & Results & Regulation FD

01—Abstract

Summary

Summary of the 8-K filed February 11, 2026. Cited figures are marked; the original filing is the authoritative source.

Waste Connections, Inc., an Ontario corporation, furnished a press release dated February 11, 2026 (Exhibit 99.1) reporting fourth quarter and full year 2025 results and its full year 2026 outlook.

For Q4 2025, revenue was $2.373 billion^a, up from $2.260 billion a year earlier. Operating income was $420.8 million, compared with an operating loss of $199.2 million in the prior-year period, which included large impairments. Net income attributable to Waste Connections was $258.5 million, or $1.01 per diluted share, versus a net loss of $196.0 million, or $0.76 per share, a year earlier.

Adjusted EBITDA was $795.6 million^b, up from $731.9 million, and the adjusted EBITDA margin was 33.5% of revenue, up 110 basis points year over year. For full year 2025, revenue was $9.467 billion and net income was $1.077 billion, or $4.17 per diluted share. Adjusted EBITDA was $3.125 billion, or 33.0% of revenue, up 50 basis points year over year.

The company completed acquisitions with approximately $330 million^c in annualized revenue and returned a record $839.3 million to shareholders. Management cited leverage of 2.75 times and said the balance sheet provides optionality for acquisitions and further shareholder returns. For 2026, the company expects revenue of $9.90 billion to $9.95 billion, net income attributable to Waste Connections of $1.223 billion to $1.238 billion, and adjusted EBITDA of $3.300 billion to $3.325 billion.

It expects net cash provided by operating activities of $2.65 billion to $2.70 billion^d, capital expenditures of approximately $1.25 billion, and adjusted free cash flow of $1.40 billion to $1.45 billion, which the release describes as up 11.2% to 15.1% year over year. The outlook assumes no change in the current economic environment and excludes expensing of transaction-related items, with upside possible from additional acquisitions, higher commodity prices, or stronger macroeconomic activity.

02—Key points

Key Highlights

Q4 2025 revenue of $2.373 billion, up from $2.260 billion in the prior-year quarter.
Q4 2025 adjusted EBITDA of $795.6 million, up 8.7% year over year, with a 33.5% margin, up 110 basis points.
Q4 2025 net income attributable to Waste Connections of $258.5 million ($1.01 per diluted share), compared with a net loss of $196.0 million a year earlier.
Full year 2025 revenue of $9.467 billion; adjusted EBITDA of $3.125 billion, or 33.0% of revenue, up 50 basis points.
Record $839.3 million returned to shareholders in 2025, including over $500 million in share repurchases; approximately $330 million in annualized revenue acquired.
2026 outlook: revenue of $9.90–$9.95 billion, adjusted EBITDA of $3.300–$3.325 billion, and adjusted free cash flow of $1.40–$1.45 billion.
Leverage stated at 2.75 times, with management citing balance sheet capacity for acquisitions and further shareholder returns.

03—Questions

Frequently Asked Questions

How did Waste Connections perform in the fourth quarter of 2025?
Revenue was $2.373 billion, up from $2.260 billion. Operating income was $420.8 million, compared with an operating loss of $199.2 million a year earlier that included $602.4 million in impairments and landfill-related adjustments. Net income attributable to Waste Connections was $258.5 million, or $1.01 per diluted share, and adjusted EBITDA was $795.6 million.
What does the company expect for 2026?
The company expects revenue of $9.90–$9.95 billion, net income of $1.223–$1.238 billion, adjusted EBITDA of $3.300–$3.325 billion, and net cash provided by operating activities of $2.65–$2.70 billion. Capital expenditures are estimated at approximately $1.25 billion, and adjusted free cash flow at $1.40–$1.45 billion. The outlook assumes no change in the current economic environment and excludes expensing of transaction-related items.
What drove the margin improvement?
Management attributed the adjusted EBITDA margin expansion to price-led organic growth in solid waste and ongoing improvements in operating trends. It also cited declining employee turnover and safety incident rates, which the company said provided benefits through cost savings, productivity and customer service.
How much capital did the company return to shareholders and how much did it acquire?
In 2025 the company returned a record $839.3 million to shareholders, including share repurchases of over $500 million. It completed acquisitions with approximately $330 million in annualized revenue. Cash flow statements show $505.5 million in share repurchase payments and $333.8 million in dividend payments for 2025.
What upside could affect the 2026 outlook?
The release lists upside from additional acquisitions, improvement in commodity prices, or increases in macroeconomic activity. Management also referenced commodities approaching historical cyclical lows as a possible source of improvement.

04—Continue

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