By the numbers: Q3 2025
Revenue: $4.2B
Up 3.3% year over year
Net income: $550M
Down 2.8% versus prior year, with a margin of 13.1%
Adjusted EBITDA: $1.38B
Up 6.1% year over year, with a margin of 32.8%
- Overall results: Republic Services reported a mixed quarter, with revenue and margins up but net income down. Executives once again largely attributed this to a slump in manufacturing and construction affecting the company’s environmental services segment. Republic’s core recycling and waste business reported steady returns, with revenue up 4.7% to $3.8 billion year over year. “Continued investment in our differentiated capabilities positions us well to drive sustainable growth and enhance long-term shareholder value,” CEO Jon Vander Ark said on the company’s Thursday earnings call.
- Volumes: Republic continued to see outsized C&D and special waste activity. C&D landfill volumes were up 45% due in large part to $35 million of hurricane recovery activity in the Carolinas. The company also saw landfill special waste volumes increase 18%, primarily due to some event-based work in the Sunbelt area. So far this year, Republic has seen $100 million in revenue from cleanups associated with hurricanes and wildfires. Meanwhile, residential volumes declined 2.4%, due in part to intentional shedding of certain contracts.
- Recycling: After beginning commercial production at the company’s Indianapolis Polymer Center in July, Republic expects a co-located Blue Polymer center to begin production “late in the fourth quarter,” Vander Ark said. The joint venture with Ravago is expected to then shift its focus to Allentown, Pennsylvania, for the next set of co-located facilities, which are expected to be in development next year. Despite commodity prices averaging $126 per ton in Q3 — down from $177 year over year — Republic is still seeing strong demand at its centers from both a pricing and a volume standpoint, Vander Ark said.
- Environmental services: Revenue for this segment was down roughly 6.9% to $433 million, driven by lower event-based volumes and continued weakness in the manufacturing sector. Vander Ark said the company hasn’t struck the right balance between its pricing and the volume of work it secures, and that it would likely be less aggressive on pricing for certain event-based work going forward. CFO Brian DelGhiaccio said Republic has still made “tremendous progress” since closing its acquisition of US Ecology three years ago, improving margins “fairly dramatically” over that time.
- Fleet electrification: Vander Ark said OEMs and customers alike continue to support Republic’s fleet electrification initiative despite the rollback of federal incentives. “This isn't just a sustainability investment. This is also a business investment,” he said. The company had 137 electric collection vehicles in operation by the end of the quarter, and is on track to have more than 150 by the end of the year.
- Landfill gas: Republic brought another renewable natural gas facility online in the quarter. The company has commenced operations at six RNG facilities so far this year and expects to have seven operating by the end of the year. With the rise of data centers and other electricity demand drivers, Vander Ark said the company is also exploring landfill-gas-to-electricity projects geared toward lower flow or smaller landfills.
- Labor: Republic recorded $56 million in costs related to labor disputes around the country this year, including revenue credits issued to customers who missed service. Those disputes ended with a final contract agreement in October. Meanwhile, Republic reports that its employee turnover rate continues to trend lower than it was in 2024.
