Casella Waste Systems (CWST) Q4 2025 earnings summary

Executive summary

• Achieved fifth consecutive year of double-digit growth in revenue, Adjusted EBITDA, and Adjusted Free Cash Flow for 2025, with full-year revenues up 18% to $1.837 billion, Adjusted EBITDA up 17.3% to $422.8 million, and Adjusted Free Cash Flow up 14% year-over-year.

• Nine acquisitions in 2025 added over $115 million in annualized revenues, with an additional $30 million from a January 2026 acquisition.

• Integration and system upgrades in the Mid-Atlantic region are nearly complete, supporting further operational and pricing efficiencies.

• Net income for 2025 was $7.9 million, down 41.9% from 2024, with Q4 2025 net loss of $(2.5) million.

• Expansion efforts at key landfills and a robust acquisition pipeline position the company for continued growth.

Financial highlights

• Q4 2025 revenues were $469.1 million, up 9.7% year-over-year, with $23.1 million from acquisitions and $18.5 million from same-store growth.

• Adjusted EBITDA for Q4 was $107 million, up 12.7% year-over-year, with margin up 60 basis points to 22.8%.

• Adjusted Net Income for 2025 was $80.6 million, up 2.3% year-over-year; Adjusted Free Cash Flow was $179.9 million, up 13.6%.

• Net cash from operating activities in 2025 was $329.8 million, up 17.2% year-over-year.

• Capital expenditures for 2025 totaled $245.1 million, including $83 million in growth capex and $66 million for recent acquisitions.

Outlook and guidance

• 2026 revenue guidance is $1.97–$1.99 billion (8% growth at midpoint), Adjusted EBITDA of $455–$465 million (9% growth), and Adjusted Free Cash Flow of $195–$205 million (11% growth).

• Net income expected between $16–$22 million; net cash from operating activities projected at $370–$380 million.

• Guidance includes $60 million from acquisitions and 4.5% organic growth; solid waste pricing expected at ~5% with flat volumes.

• Adjusted EBITDA margin expected to be flat to up 40 basis points, with improvements from pricing, integration, and higher landfill volumes, partially offset by facility closures.

• Capital expenditures for 2026 projected at $260 million; guidance excludes impact from uncompleted acquisitions.