Waste management firm WM narrowly missed quarterly profit and revenue estimates on Wednesday as higher expenses and marginally lower volumes offset gains from higher prices for garbage collection and disposal.
WM - which collects, transfers and recycles trash into clean, renewable energy - was able to sustain high prices due to the essential nature of its waste management services.
Expenses in the quarter rose 5.2% year-over-year for the company.
Meanwhile, volume in the WM's largest segment, collection and disposal, which accounted for 92% of the company's revenue in 2023, declined 0.3%.
The Texas-based company posted a quarterly adjusted profit of $1.82 per share, compared to analysts' average expectation of $1.83 per share, according to LSEG data.
WM and Republic Services are two major companies — apart from municipal waste departments — that dominate garbage collection in large parts of the United States.
Its total revenue in the quarter ended June 30 rose about 5.5% to $5.40 billion. Analysts expected a revenue of $5.43 billion.
Shares of the company were down 4% in extended trading.
