All financial information is in Canadian dollars.

• Overview: GFL Environmental beat its expectations for the quarter, though some headwinds due to foreign currency translation brought it in just shy of its full-year target. The company’s capital strategy, which involved selling stakes in its environmental services and infrastructure businesses, simplified GFL’s thesis and enabled share buybacks and debt reduction that strengthened the company’s bottom line, CEO Patrick Dovigi told analysts on the company’s Wednesday earnings call. “We started 2025 by presenting our strategy to drive best-in-class financial results, and this year's results demonstrate we are doing exactly what we said we want,” Dovigi said. “Our future has never been brighter.”
• Headquarters relocation: On Jan. 21, the company announced it would move its headquarters to Miami Beach, Florida, but maintain its offices in Canada. The change allows it to become eligible for inclusion in U.S. stock indices. During the call, CFO Luke Pelosi said the company could be included in the Russell 2000 Index by midyear and still expects to be included in the Canadian TSX 60 Index. Inclusion will increase demand from passive investors and drive further value for GFL, Pelosi said.
• Minority investments: GFL spun off its environmental services division and sold a significant stake in Green Infrastructure Partners last year. While the company no longer regularly reports on those business segments, Pelosi said he would explore disclosing details about them in future earnings calls since GFL retains a stake in each. Dovigi said earnings before income, taxes, depreciation and amortization came in slightly below expectations for the environmental services business due to softness in the industrial sector, netting roughly $500 million for the year. GIP was in line with expectations, since about 75% to 80% of its business is tied up in government contracts that shield it from market forces, Dovigi said. GIP ended the year with roughly $300 million of EBITDA.
• Volumes: GFL’s overall volumes were down 2.3% in Q4 but up 0.5% for the full year. Executives said the company's expansion into markets farther south will likely grow volumes in 2026 both due to reduced seasonality across GFL's overall portfolio and population and business growth in those regions. Going into 2026, Pelosi said the first quarter faces a tough comparison from last year as storms elevated volumes in Q1 2025, but those comparisons should become easier to beat as the year goes on. The company expects C&D volumes to remain soft this year.
• M&A: GFL continues to up the ante on its M&A spend as it looks to grow in size to be closer to the largest North American waste companies. Dovigi said the company could spend as much as $1.5 billion to $2 billion on M&A in 2026. The company’s strategy remains focused on tuck-in acquisitions in markets where it can feed its post-collection assets. Executives did not name additional deals, although GFL recently swapped assets with LRS in two states in a deal that closed at the start of the year.
• EPR: GFL expects to spend $175 million of incremental growth capital this year, predominantly around packaging extended producer responsibility policies. More than $100 million of that is expected to be in the first quarter, Pelosi said, with smaller charges continuing for the remainder of the year. Most of the first-quarter spend will be on trucks and related collection costs. Dovigi said most large EPR contracts in Canada have been awarded. Toronto's privatization of recycling collection with Circular Materials has drawn some controversy, but that has not affected GFL, Dovigi said. He noted rollout of EPR collection in Ontario more broadly has gone smoothly for GFL.
• RNG: The company is lowering guidance for the adjusted EBITDA run rate of its renewable natural gas projects. While it previously projected $175 million by 2028, Dovigi now anticipates a run rate of $125 million to $150 million. He said there is no material change in the estimated cost to build the facilities, but the company is "taking a very careful look in building out the larger sites before we're building out some of the smaller ones," which means it will push back some projects to 2027. Pelosi said operating costs also appear to be in line with earlier expectations, but startup may take a quarter longer than initially expected.
• 2026 guidance: Looking ahead, Dovigi said the company would continue to keep its net leverage in the low to mid 3x range. The company projects revenue to reach $7 billion in 2026, supported by core pricing in the mid 5% range. Adjusted EBITDA is expected to be about $2.14B, and adjusted free cash flow is expected to be about $835 million.