Steven Averett, Content Director, Waste Group

November 6, 2013

2 Min Read
Clean Harbors Sees Boost in Q3 Profits, Revenue

Clean Harbors Inc. reported a jump in third quarter earnings and revenue, much of it tied to the company's recent acquisition of Safety-Kleen and continued demand for its legacy services.

For the period ended Sept. 30 the Norwell, Mass.-based company's net income was $35.4 million, or $0.58 per diluted share, compared with $12.4 million, or $0.23 per diluted share, in the third quarter of 2012, it said in a press release.

Results for 2013 reflect the December 2012 acquisition of Safety-Kleen, said the company in a press release. Revenues for the third quarter of 2013 increased 70 percent to $907.5 million, compared with $533.8 million in the same period in 2012. Income from operations in the third quarter of 2013 increased 30 percent to $73.6 million from $56.7 million in the same period of 2012, which includes a 68 percent increase in depreciation and amortization expense.

Third-quarter 2013 net income was $35.4 million, or $0.58 per diluted share, compared with $12.4 million, or $0.23 per diluted share, in the third quarter of 2012. The Company's third-quarter 2013 net income includes approximately $2.7 million in pre-tax integration and severance costs. The third quarter of 2012 included a $26.4 million pre-tax charge related to senior debt refinancing. The effective tax rate in the third quarter of 2013 was 34.7%, compared with 33.8% in the same period of last year.

Adjusted EBITDA in the third quarter of 2013 increased 45 percent to $146.0 million, compared with $100.5 million in the same period of 2012. Third-quarter 2013 Adjusted EBITDA includes the $2.7 million in pre-tax integration and severance costs.

"In the third quarter, we exceeded $900 million in quarterly revenue for the first time in our history," said Alan S. McKim, Chairman and Chief Executive Officer, in the press release. "The 70% year-over-year growth was not only driven by the addition of Safety-Kleen but by a solid performance in our legacy business. Our Technical Services and Industrial and Field Services segments each achieved double-digit growth compared with a year ago. At the same time, our Oil and Gas Field Services segment had a strong quarter, growing 27% over the same period in 2012. Within Safety-Kleen, our Oil Re-refining and Recycling segment rebounded from a soft second quarter with higher total volume of base oil and blended oil sales, improved pricing and increased sales of byproducts."

About the Author(s)

Steven Averett

Content Director, Waste Group, Waste360

Steven Averett joined the Waste Age staff in February 2006. Since then he has helped the magazine expand its coverage and garner a range of awards from FOLIO, the American Society of Business Publication Editors (ASBPE) and the Magazine Association of the Southeast (MAGS). He recently won a Gold Award from ASBPE for humor writing.

Before joining Waste Age, Steven spent three years as the staff writer for Industrial Engineer magazine, where he won a gold GAMMA Award from MAGS for Best Feature. He has written and edited material covering a wide range of topics, including video games, film, manufacturing, and aeronautics.

Steven is a graduate of the University of Georgia, where he earned a BA in English.

Stay in the Know - Subscribe to Our Newsletters
Join a network of more than 90,000 waste and recycling industry professionals. Get the latest news and insights straight to your inbox. Free.

You May Also Like