SECURE Waste Infrastructure (SES) Q4 2025 earnings summary

Executive summary

• Achieved full-year 2025 adjusted EBITDA of $501 million (up 2–5% year-over-year), demonstrating stable, recurring cash flows and resilience despite lower commodity prices and macro headwinds.

• Returned $373 million to shareholders in 2025 via dividends and share buybacks, repurchasing nearly 19 million shares (8% of outstanding shares).

• Board approved a 5% dividend increase to $0.42 per share annualized, effective Q2 2026.

• Advanced organic growth projects, including new water disposal facilities and metals recycling optimization.

• Strategic focus on expanding service offerings, integrating acquisitions, and densifying its network in key regions.

Financial highlights

• 2025 revenue reached $1,472 million; Q4 revenue was $372 million.

• Adjusted EBITDA for 2025 was $501 million (34% margin); Q4 adjusted EBITDA was $135 million, up 15% year-over-year.

• Net income for 2025 was $123 million ($0.55 per basic share); Q4 net income was $53 million.

• Discretionary free cash flow for 2025 was $273 million, with conversion above 50%.

• Debt to adjusted EBITDA at year-end 2025 was 2.1x (1.8x excluding leases), with significant liquidity and no near-term maturities.

Outlook and guidance

• 2026 adjusted EBITDA guidance set at $520–$550 million, with 75% from Waste Management, supported by contracted infrastructure and recurring volumes.

• Growth capital expenditures for 2026 expected at $75 million, focused on facility expansions and optimization.

• Dividend to increase by 5% to $0.42 per share annualized, starting Q2 2026.

• Strategic priorities include increasing same-store sales, executing high-value capital projects, and pursuing accretive acquisitions.

• Sustaining capital expenditures projected at $85 million, including landfill cell expansions.