Dive Brief:
- Waste Management Inc. unveiled a disappointing Q3 earnings report on Wednesday.
- Revenue in the third quarter dropped to $3.60 billion from $3.62 billion in Q3 2013.
- Net income fell to $270 million from $291 million one year ago. New income this quarter was affected by after-tax net charges stemming from the restructuring of multiple corporate functions and statutory reserves.
Dive Insight:
Earnings in the third quarter fell a result of unenthusiastic pricing and corporate overhead costs, which the company is working to lower.
Commodities in the recycling and waste -to-energy (WTE) markets are exhibiting weak pricing, and the firm has been slashing costs to offset its losses. The company could potentially save up to $100 million a year through corporate restructuring.
Waste Management also sold Wheelabrator Technologies in order to shed extra bulk; it was sold to Energy Capital Partners for $1.94 billion in July.