8-KEarnings & ResultsExhibits & Filings

WASTE MANAGEMENT INC 8-K Report, Financial Results (Jul 30, 2009)

Filed July 30, 2009For Securities:WM

Summary

Waste Management, Inc. (WM) filed an 8-K on July 30, 2009, to report its financial results for the quarter ended March 31, 2009. The filing includes a press release detailing the company's performance and a conference call scheduled to discuss these results. Investors should note the company's use of non-GAAP financial measures to provide a clearer picture of operational performance, particularly in light of declining revenues. This adjusted view helps in assessing the company's ability to manage core operating costs independently of certain one-time expenses. The reported results indicate a decrease in revenues and operating expenses compared to the prior year's quarter. Notably, the company is presenting "as adjusted" operating expenses as a percentage of revenue, which excludes the impact of costs related to withdrawing from an underfunded multi-employer pension plan. This adjusted metric aims to offer a more normalized view of the company's operational efficiency.

Key Highlights

  • 1Filing reports financial results for the quarter ended March 31, 2009.
  • 2Company is hosting a conference call and webcast to discuss earnings.
  • 3WM is utilizing non-GAAP financial measures to present operational performance.
  • 4A key non-GAAP measure adjusts operating expenses to exclude multi-employer pension withdrawal costs.
  • 5Adjusted operating expenses as a percentage of revenue decreased to 60.2% from 62.5% in the prior year's quarter.
  • 6Revenues for the quarter were $2,952 million, down from $3,489 million in the same quarter last year.
  • 7Operating Expenses also decreased to $1,777 million (as adjusted) from $2,181 million in the prior year.

Frequently Asked Questions

This 8-K filing serves to officially report Waste Management's financial results for the quarter ended March 31, 2009, and to attach the accompanying press release and information for a scheduled conference call.

The company is using non-GAAP measures, specifically adjusted operating expenses, to provide investors with a better understanding of its ability to manage normal operating costs, especially when revenues are declining. This adjustment excludes the impact of costs related to withdrawing from an underfunded multi-employer pension plan, offering a clearer view of core operational efficiency.

For the quarter ended March 31, 2009, Waste Management reported revenues of $2,952 million, a decrease from $3,489 million in the same quarter of 2008. Operating expenses also decreased to $1,777 million (as adjusted) from $2,181 million in the prior year's quarter.

This adjusted metric shows an improvement, decreasing to 60.2% for the quarter ended March 31, 2009, down from 62.5% in the same quarter of 2008. This 230 basis point improvement indicates that the company is becoming more efficient in managing its core operational costs relative to its revenue, even after excluding the impact of the pension plan withdrawal.