Republic Services, Inc.

Strong Q1 Performance: Republic Services reported a revenue growth of 4% and adjusted EBITDA growth of 9%. The adjusted EBITDA margin was expanded by 140 basis points to 31.6%, mainly driven by effective cost management and strong pricing power—core price on total revenue was up by 6.1%, exceeding cost inflation and leading to better margin performance.

Volume Challenges: Organic volume on total revenue declined by 1.2%, mainly attributed to shedding underperforming residential contracts and continued softness in construction and manufacturing markets. Weather disruptions in January and February contributed negatively, impacting results by an estimated $25 to $30 million.

Guidance and Outlook: The company reaffirmed its guidance for 2025, estimating a continued gradual recovery in cyclical volumes alongside expected seasonality. Investors are advised to monitor demand trends closely as the strongest quarters approach in Q2 and Q3 while acknowledging potential for slower growth in construction due to high-interest rates.