Wed, Apr 30, 2:54 PM (13 days ago)
**Clean Harbors, Inc. (CLH) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** Total revenues increased by 4.0% to $1,431.95 million, driven by growth in Environmental Services (3.1%) and Safety-Kleen Sustainability Solutions (9.1%). - **Profit Margins:** Net income decreased by 16.0% to $58.68 million, primarily due to higher depreciation and amortization expenses from recent acquisitions. - **Cash Flow:** Net cash from operating activities decreased by 91.1% to $1.61 million, impacted by increased working capital balances and higher interest payments. - **Earnings Changes:** Earnings per share (EPS) decreased by 15.5% to $1.09, reflecting the lower net income. **Segment Performance:** - **Environmental Services:** Direct revenues increased by 3.1% to $1,209.11 million, driven by growth in Field and Emergency Response Services, Technical Services, and Safety-Kleen core service offerings. - **Safety-Kleen Sustainability Solutions (SKSS):** Direct revenues increased by 9.1% to $222.74 million, driven by contributions from Noble and growth in charge-for-oil revenue. **Trends and Uncertainties:** - **Acquisitions:** Recent acquisitions (HEPACO and Noble) have increased revenues but also added to depreciation and amortization expenses. - **Regulatory Environment:** Changes in environmental laws and regulations could impact future operations and cash flows. - **Economic Factors:** Overall North American GDP, U.S. industrial production, and economic conditions in key markets influence demand for services. **Future Operations Impact:** - **Capital Expenditures:** Anticipated capital spending for 2025 is between $360.0 million and $390.0 million, funded by cash from operations. - **Debt Management:** The company maintains a $600.0 million revolving credit facility with $462.4 million available to borrow as of March 31, 2025. - **Stock Repurchases:** The company repurchased 256,473 shares for $55.0 million in Q1 2025, with $444.1 million remaining available for repurchase. **Conclusion:** Clean Harbors, Inc. (CLH) reported mixed results for Q1 2025, with revenue growth offset by increased expenses and lower net income. The company continues to invest in acquisitions and capital expenditures to drive future growth, while managing regulatory and economic uncertainties.