Waste Management

WM Q4 2025 Earnings

Reported Jan 28, 2026 at 5:08 PM ET · SEC Source

Q4 25 EPS

$1.93

MISS 1.03%

Est. $1.95

Q4 25 Revenue

$6.31B

vs S&P Since Q4 25

-1.9%

TRAILING MARKET

WM +1.9% vs S&P +3.8%

Full Year 2025 Results

FY 25 EPS

$7.50

MISS 0.10%

Est. $7.51

FY 25 Revenue

$25.20B

MISS 0.36%

Est. $25.29B

Market Reaction

Did WM Beat Earnings? Q4 2025 Results

Waste Management came up just short of Wall Street's expectations in Q4 2025, posting adjusted diluted EPS of $1.93 against a $1.95 consensus estimate, a 1.03% miss, while revenue of $6.31 billion trailed the $6.40 billion forecast by 1.41%, even as … Read more Waste Management came up just short of Wall Street's expectations in Q4 2025, posting adjusted diluted EPS of $1.93 against a $1.95 consensus estimate, a 1.03% miss, while revenue of $6.31 billion trailed the $6.40 billion forecast by 1.41%, even as top-line sales climbed 7.1% year-over-year. The primary drag came from commodity headwinds: recycled commodity pricing tumbled to roughly $62 per ton in the quarter from $87 per ton a year earlier, while renewable fuel standard credits also declined, weighing on results that were otherwise operationally strong. Beneath those pressures, WM achieved its best-ever operating expense ratio for both Q4 and the full year, and full-year adjusted operating EBITDA margin cleared 30% for the first time. The Stericycle-acquired Healthcare Solutions segment continued integrating smoothly, with margins expanding to 16.9% for the year. Looking ahead, WM's long-term outlook is underpinned by 2026 guidance calling for revenue of $26.80–$27.00 billion and free cash flow growth of nearly 30% at the midpoint, alongside approximately $3.50 billion in planned shareholder returns.

Key Takeaways

  • Collection and Disposal core price of 6.3% and yield of 3.8% for full year 2025
  • Record operating expenses as a percentage of revenue for Q4 and full year
  • Technology and automation investments generating meaningful efficiencies
  • Front-line employee retention improvements
  • Fleet capital investments and residential collection business optimization
  • Healthcare Solutions integration progress driving margin expansion
  • Wildfire cleanup volume contributed 50 basis points to Collection and Disposal volume
24/7 Wall St

WM YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

24/7 Wall St

WM Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“2025 was a year of disciplined execution for WM. We delivered record performance in operating expenses as a percentage of revenue for both the fourth quarter and the full year, resulting in our best full-year adjusted operating EBITDA margin. Our investments in technology and automation continue to generate meaningful efficiencies, contributing to structurally enhanced margins and stronger cash generation. We are also building momentum in the strategic growth of our recycling, renewable energy, and healthcare solutions businesses as we position WM as the leading provider of comprehensive environmental solutions.”

— Jim Fish, Q4 2025 Earnings Press Release