Company Announcements

Fourth Quarter Highlights

• Strong finish to the year driving top-to-bottom beat, with momentum for continued outsized margin performance in 2026
• Revenue of $2.373 billion
• Net income^(a) of $258.5 million, and adjusted EBITDA^(b) of $795.6 million, up 8.7% year over year
• Adjusted EBITDA^(b) margin of 33.5% of revenue, up 110 basis points year over year, above expectations

Full Year 2025 Highlights

• Full year 2025 revenue of $9.467 billion
• Net income^(a) of $1.077 billion, and adjusted EBITDA^(b) of $3.125 billion and 33.0% of revenue, up 50 basis points year over year
• Completed acquisitions with approximately $330 million in annualized revenue and returned record $839.3 million to shareholders

Expectations for 2026

• Revenue in the range of $9.90 billion to $9.95 billion
• Net income^(a) in the range of $1.223 billion to $1.238 billion and adjusted EBITDA^(b) in the range of $3.300 billion to $3.325 billion
• Net cash provided by operating activities in the range of $2.65 billion to $2.70 billion and double-digit growth in adjusted free cash flow^(b) to a range of $1.40 billion to $1.45 billion
• Upside from additional acquisitions, improvement in commodity prices or increases in macroeconomic activity

TORONTO--(BUSINESS WIRE)--Feb. 11, 2026-- Waste Connections, Inc. (TSX/NYSE: WCN) (“Waste Connections” or the “Company”) today announced its results for the fourth quarter of 2025 and outlook for 2026.

“Adjusted EBITDA^(b) margin expansion of 110 basis points in the fourth quarter capped off a remarkable year for Waste Connections, driven by price-led organic growth in solid waste and strong execution from ongoing improvements in operating trends. For the full year 2025, we delivered industry-leading adjusted EBITDA^(b) margin of 33.0%, up 100 basis points year over year, excluding the impact of lower commodities,” said Ronald J. Mittelstaedt, President and Chief Executive Officer. “We also completed another year of above-average acquisition activity, with approximately $330 million in acquired annualized revenue, plus returned a record amount to shareholders including through share repurchases of over $500 million."

“For the third consecutive year, both employee turnover and safety incident rates declined, exiting 2025 at multi-year lows,” continued Mr. Mittelstaedt, “providing ongoing benefits through cost savings, increased productivity, heightened employee engagement and improved customer service. This operating momentum sets up 2026 for another year of outsized underlying solid waste margin expansion, along with upside from any improvement in the broader economy or commodities that are approaching historical cyclical lows.”

Mr. Mittelstaedt concluded, “We are extremely pleased by our 2025 results and our positioning for double-digit growth in adjusted free cash flow in 2026. Further, with leverage at 2.75 times, our balance sheet strength continues to provide significant optionality to execute on our strong acquisition pipeline, along with further increases in return of capital to shareholders, while also pursuing technology-driven initiatives supporting continued growth."

Q4 2025 Results

Revenue in the fourth quarter totaled $2.373 billion, up from $2.260 billion in the year ago period. Operating income was $420.8 million, which included $39.1 million in impairments and other items primarily related to an environmental liability at an operating facility and $4.3 million primarily in transaction-related expenses. This compares to an operating loss of $199.2 million in the prior year period, which included $602.4 million primarily in impairments related to the early closure of a landfill and adjustments to landfill closure and post-closure costs.

Net income in the fourth quarter was $258.5 million, or $1.01 per share on a diluted basis of 256.5 million shares. In the year ago period, the Company reported net loss of $196.0 million, or $0.76 per share on a diluted basis of 258.0 million shares.

Adjusted net income^(b) in the fourth quarter was $330.1 million, or $1.29 per diluted share, up from $300.6 million, or $1.16 per diluted share, in the prior year period. Adjusted EBITDA^(b) in the fourth quarter was $795.6 million, as compared to $731.9 million in the prior year period. Adjusted net income, adjusted net income per diluted share and adjusted EBITDA, all non-GAAP measures, primarily exclude impairments and transaction-related items, as reflected in the detailed reconciliations in the attached tables.

Full Year 2025 Results

For the year ended December 31, 2025, revenue was $9.467 billion, up from $8.920 billion in the year ago period. Operating income was $1.710 billion, which included $109.7 million in impairments and other operating items primarily related to an environmental liability at an operating facility and the write-down of a non-operating E&P waste facility permit, plus $24.2 million in transaction-related expenses and $0.4 million in fair value changes to certain equity awards. In the year ago period, operating income was $1.068 billion, which included $613.0 million in impairments primarily related to the early closure of a landfill and closure and post-closure costs, $26.1 million in transaction-related expenses and $1.6 million in fair value changes to certain equity awards.

Net income for the year ended December 31, 2025 was $1.077 billion, or $4.17 per share on a diluted basis of 258.0 million shares. In the year ago period, the Company reported net income of $617.6 million, or $2.39 per share on a diluted basis of 258.7 million shares.

Adjusted net income^(b) for the year ended December 31, 2025 was $1.328 billion, or $5.15 per diluted share, up from $1.239 billion, or $4.79 per diluted share, in the year ago period. Adjusted EBITDA^(b) for the year ended December 31, 2025 was $3.125 billion, up from $2.902 billion in the prior year period.

2026 Outlook

Waste Connections also announced its outlook for 2026, which assumes no change in the current economic environment. The Company’s outlook excludes expensing of transaction-related items. The outlook provided below is forward looking, and actual results may differ materially depending on risks and uncertainties detailed at the end of this release and in our periodic filings with the U.S. Securities and Exchange Commission and the securities commissions or similar regulatory authorities in Canada. Certain components of the outlook for 2026 are subject to quarterly fluctuations. See reconciliations in the attached tables.

• Revenue is estimated in the range of $9.90 billion to $9.95 billion;
• Net income is estimated in the range of $1.223 billion to $1.238 billion and adjusted EBITDA^(b) is estimated in the range of $3.300 billion to $3.325 billion;
• Net cash provided by operating activities is estimated in the range of $2.65 billion to $2.70 billion;
• Capital expenditures are estimated to be approximately $1.25 billion; and
• Adjusted free cash flow^(b) is estimated in the range of $1.40 billion to $1.45 billion, up 11.2% to 15.1% year over year.

Q4 2025 Earnings Conference Call

Waste Connections will be hosting a conference call related to fourth quarter earnings on February 12^th at 8:30 A.M. Eastern Time. A live audio webcast of the conference call can be accessed by visiting investors.wasteconnections.com and selecting "Events & Presentations" from the website menu. Alternatively, conference call participants can preregister by clicking here. Registered participants will receive dial-in instructions and a personalized code for entry to the conference call. Shortly after the conclusion of the conference call, a webcast replay will be available on the Waste Connections investor website or by clicking here.

About Waste Connections

Waste Connections (wasteconnections.com) is an integrated solid waste services company that provides non-hazardous waste collection, transfer and disposal services, including by rail, along with resource recovery primarily through recycling and renewable fuels generation. The Company serves approximately nine million residential, commercial and industrial customers in mostly exclusive and secondary markets across 46 states in the U.S. and six provinces in Canada. Waste Connections also provides non-hazardous oilfield waste treatment, recovery and disposal services in several basins across the U.S. and Canada, as well as intermodal services for the movement of cargo and solid waste containers in the Pacific Northwest. Waste Connections views its Environmental, Social and Governance (“ESG”) efforts as integral to its business, with initiatives consistent with its objective of long-term value creation and focused on reducing emissions, increasing resource recovery of both recyclable commodities and clean energy fuels, reducing reliance on off-site disposal for landfill leachate, further improving safety and enhancing employee engagement. Visit wasteconnections.com/sustainability for more information and updates on our progress towards targeted achievement.

Safe Harbor and Forward-Looking Information

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 ("PSLRA"), including "forward-looking information" within the meaning of applicable Canadian securities laws. These forward-looking statements are neither historical facts nor assurances of future performance and reflect Waste Connections' current beliefs and expectations regarding future events and operating performance. These forward-looking statements are often identified by the words "may," "might," "believes," "thinks," "expects," "estimate," "continue," "intends" or other words of similar meaning. All of the forward-looking statements included in this press release are made pursuant to the safe harbor provisions of the PSLRA and applicable securities laws in Canada. Forward-looking statements involve risks and uncertainties. Forward-looking statements in this press release include, but are not limited to, statements about expected 2026 financial results, outlook and related assumptions, and potential acquisition activity. Important factors that could cause actual results to differ, possibly materially, from those indicated by the forward-looking statements include, but are not limited to, risk factors detailed from time to time in the Company's filings with the SEC and the securities commissions or similar regulatory authorities in Canada. You should not place undue reliance on forward-looking statements, which speak only as of the date of this press release. Waste Connections undertakes no obligation to update the forward-looking statements set forth in this press release, whether as a result of new information, future events, or otherwise, unless required by applicable securities laws.

– financial tables attached –

View source version on businesswire.com: https://www.businesswire.com/news/home/20260211869041/en/

Mary Anne Whitney / (832) 442-2253
maryannew@wasteconnections.com

Joe Box / (832) 442-2153
joe.box@wasteconnections.com

Source: Waste Connections, Inc.