Waste Management (WM) Investor presentation summary

Business overview and strategy

• Operates a vertically integrated network with collection, disposal, recycling, renewable energy, and healthcare solutions segments, serving a diverse customer base across North America and Europe.

• Holds a leading market position with $25.2B in 2025 revenue and $88B market cap, supported by a resilient, recurring revenue model and diversified customer mix.

• Focuses on innovation, automation, and technology to optimize operations, reduce costs, and enhance customer experience.

• Pursues disciplined pricing, targeted volume expansion, and cost management to drive organic growth and margin improvement.

• Strategic acquisitions, such as Stericycle, expand capabilities in healthcare solutions and support long-term growth.

Financial performance and capital allocation

• Achieved strong organic revenue growth, with 2025 revenue at $25.2B and adjusted operating EBITDA of $7.6B (30.1% margin).

• Free cash flow before sustainability investments reached $3.57B in 2025, with disciplined capital expenditures and working capital improvements.

• Maintains a robust balance sheet with $2.4B in liquidity, 3.11x leverage ratio, and strong credit ratings (A3/A-/A-).

• Demonstrates a balanced capital allocation strategy: 8.6% dividend CAGR (2023–2025), $1.4B in tuck-in acquisitions, $1.6B in share repurchases, and $2.3B in sustainability investments.

• Return on invested capital at 12.0% in 2025, significantly outpacing cost of capital and peers.

Operational excellence and sustainability

• Operates the largest recycling network in North America, processing over 6.5M tons of recyclables and advancing automation to lower costs and increase capacity.

• Owns 103 landfill gas-to-energy facilities, with plans to expand RNG production to 25M MMBtu annually by 2027.

• Leverages technology for route optimization, fleet automation, and digital monitoring, generating $30M in annual savings from 1% efficiency improvement.

• Focuses on sustainability, circularity solutions, and environmental stewardship, supporting both economic and environmental value creation.

• Maintains a people-first culture, emphasizing safety, diversity, and frontline employee retention.