WASTE MANAGEMENT INCWM
WASTE MANAGEMENT INC Financial Overview 2021–2025
Updated Jul 10, 2026Waste Management closed FY2025 by generating $2.9 billion in free cash flow, representing a $620 million year-over-year jump despite carrying elevated debt from its $7.2 billion acquisition of Stericycle. This cash-generation profile underscores a clear investment thesis: the company wields structural pricing power that reliably absorbs macroeconomic inflation and large-scale integration costs. Through disciplined yield management across its core collection services and strategic market expansion, total revenue grew from $17.93 billion in FY2021 to $25.2 billion in FY2025.
The integration of Stericycle birthed the new WM Healthcare Solutions segment, serving as the primary catalyst for a 14.2% top-line expansion in FY2025. Even with elevated interest expenses and labor headwinds, automation investments drove operating expenses down to 59.6% of revenue. This cost control allowed income from operations to increase by $245 million to $4.3 billion for the year. Backed by strong liquidity, the company announced a planned 14.5% dividend increase for FY2026 and resumed share repurchases. The market rewarded this financial execution. At the close of FY2025, the stock traded at $219.71, commanding a 32.8x earnings multiple and an $88.5 billion market cap.
Recent Developments (Q4 2025 and Q1 2026)
Waste Management accelerated its profitability into Q1 2026, where free cash flow more than doubled year-over-year to $920 million. Revenue climbed 3.5% to $6.227 billion, supported by strong pricing power and incremental renewable energy volumes. This top-line expansion drove a 9.9% increase in operating income to $1.113 billion, while net income grew 13.5% to $723 million, or $1.79 per share. The company also navigated notable C-suite turnover. CFO Devina Rankin finalized her transition exit in March 2026, and Tara J. Hemmer was promoted to Chief Operating Officer, replacing John J. Morris, Jr.
Bulls highlight the resilient core business, evidenced by a 24.3% surge in operating cash flow to $1.501 billion. Conversely, bears argue the equity is priced for perfection, trading at a premium 34.4x earnings as of April 29, 2026.
What to watch: integration impacts of executive leadership changes; margin expansion tied to renewable energy volume growth
Rev
$25.20B
FY2025
NI
$2.71B
FY2025
EPS
$6.72
FY2025
OCF
$6.04B
FY2025
Year-over-year comparison from 10-K annual reports
Data from SEC Company Facts
Recent SEC Filings
WASTE MANAGEMENT INC 8-K Report, Shareholder Vote Results (May 14, 2026)
Waste Management, Inc. (WM) filed an 8-K report on May 14, 2026, detailing the outcomes of its Annual Meeting of Stockholders held on May 12, 2026. The report indicates strong shareholder support for key corporate matters, including the election of all nine director nominees, the ratification of Ernst & Young LLP as the independent registered public accounting firm for fiscal year 2026, and advisory approval of executive compensation. A significant portion of outstanding shares were represented at the meeting, demonstrating active investor engagement.
WASTE MANAGEMENT INC 8-K Report, Executive Changes (May 13, 2026)
Waste Management, Inc. (WM) announced significant executive changes via an 8-K filing on May 13, 2026. The company is acknowledging the retirement of Mr. Rafael E. Carrasco, Senior Vice President, Enterprise Strategy and President, WM Healthcare Solutions, who will step down on July 17, 2026, after 10 years of service, notably contributing to the Stericycle acquisition and healthcare solutions business development. Concurrently, Ms. Tara J. Hemmer has been promoted to Executive Vice President and Chief Operating Officer, reporting to President John J. Morris, Jr., who has resigned from his COO role. Ms. Hemmer, previously Senior Vice President and Chief Sustainability Officer, will see her annual base salary increase to $850,000 and a target annual cash incentive of 105% of her year-end base salary. Her compensation package also includes a $575,000 award of restricted stock units (RSUs) with a staggered three-year vesting schedule and dividend equivalents, reflecting the company's investment in leadership continuity and strategic growth.
WASTE MANAGEMENT INC 8-K Report, Financial Results (Apr 28, 2026)
Waste Management, Inc. (WM) has filed an 8-K report on April 28, 2026, to announce its financial results for the first quarter of 2026. The company is providing its earnings through a press release, furnished as Exhibit 99.1, and will host an audio webcast on April 29, 2026, at 10:00 a.m. Eastern Time to discuss these results. Investors are directed to the company's investor relations website for access to the live webcast and a replay. The press release and accompanying materials are expected to detail both GAAP and non-GAAP financial measures. The company explicitly notes that reconciliations between non-GAAP and their most comparable GAAP measures are available within the provided documentation. While specific financial figures are not disclosed in the 8-K itself, this filing serves as the official notification of the release of these results and the associated investor communication event.
WASTE MANAGEMENT INC 8-K Report, Material Agreement (Mar 25, 2026)
Waste Management, Inc. (WM) announced on March 25, 2026, an amendment to its revolving credit agreement, specifically Amendment No. 2 to its Seventh Amended and Restated Revolving Credit Agreement dated May 8, 2024. This amendment, entered into on March 20, 2026, modifies the definitions of Earnings Before Interest and Taxes (EBIT) and Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA). The key change allows for the add-back of equity-based compensation and interest accretion as non-cash items when calculating the leverage ratio financial covenant. This adjustment is intended to better align WM's financial covenant calculations with those of its industry peers, potentially improving financial flexibility and comparability. Investors should note that this amendment primarily affects covenant calculations and does not represent a fundamental change in the company's operational or financial performance, but rather an adjustment to how its financial leverage is measured under its credit facility.
WASTE MANAGEMENT INC 8-K Report, Executive Changes (Mar 13, 2026)
Waste Management, Inc. (WM) filed an 8-K report on March 13, 2026, primarily to disclose details surrounding the departure and final compensation of its former Executive Vice President and Chief Financial Officer, Ms. Devina Rankin. Ms. Rankin, who concluded her 23-year tenure with the company, including nearly nine years as CFO, officially stepped down from her role on November 1, 2025. She remained as an executive advisor until March 13, 2026, to facilitate a smooth handover of her responsibilities. The most significant investor takeaway from this filing is the confirmation of a $1 million cash transition success bonus paid to Ms. Rankin. This bonus recognizes her leadership in ensuring an orderly CFO transition and her contributions to the integration of the Healthcare Solutions business. This payment is in addition to her 2025 annual cash incentive award. The agreement detailing this bonus is filed as an exhibit to this report, providing transparency on the terms of her final compensation.
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