Republic Services (RSG) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue grew 3.3% year-over-year, with adjusted EBITDA up 6.1% and margin expanding 80 bps to 32.8%; year-to-date revenue for the nine months ended September 30, 2025 increased 3.9% to $12,456 million, driven by higher yield and acquisitions, despite volume and Environmental Solutions softness.

• Adjusted EPS for Q3 was $1.90; year-to-date adjusted free cash flow totaled $2.19 billion; net income attributable to stockholders was $1,595 million for the nine months, with diluted EPS at $5.10.

• Customer retention remained high at 94%, with improved Net Promoter Score and recognition as a Great Place to Work® for the ninth consecutive year.

• Over $1 billion invested in acquisitions year-to-date, with $1.13 billion returned to shareholders via dividends and buybacks.

Financial highlights

• Core price on total revenue was 5.9%, with related revenue at 7.2%; average yield on total revenue was 4%, and related revenue yield was 4.9%.

• Adjusted EBITDA margin expanded 80 bps to 32.8%; recycling and waste business margin up 150 bps to 34.3%.

• Year-to-date capital expenditures were $1.18 billion (62% of projected full-year spend); total debt stood at $13.4 billion; total liquidity at $2.7 billion; leverage ratio at 2.5x.

• Cash provided by operating activities was $3.32 billion; capital expenditures totaled $1.31 billion.

• 2.6 million shares repurchased for $599 million; $544 million in dividends paid year-to-date.

Outlook and guidance

• Expect mid-single-digit revenue growth, with EBITDA, EPS, and free cash flow growing faster; revenue expected near the low end of full-year 2025 guidance.

• 2026 growth will face a tough comp due to $100 million of non-recurring event-driven revenue in 2025.

• Price-cost spread expected to remain 75–100 bps above cost inflation into 2026.

• Full-year 2026 guidance to be provided in February; additional restructuring charges of $3 million expected in 2025.

• Sufficient liquidity is anticipated to fund operations, capital needs, and shareholder returns for at least the next 12 months.