Republic Net Income Dips 21 Percent in Third Quarter

Republic Net Income Dips 21 Percent in Third Quarter

Republic Services Inc.’s net income dropped 21.1 percent in its third quarter.

The Phoenix-based Republic said that net income for the period ended Sept. 30 slipped to $152.7 million, 42 cents per diluted share, compared with $193.5 million, or 52 cents per diluted share, in the 2011 period.

Revenue for the third quarter decreased 3.3 percent to $2.05 billion compared with $2.12 billion in the year-ago period, according to a news release. The company cited decreases in commodity recycling prices, volumes and fuel surcharges as hurting results.

For the first nine months Republic’s net income rose 11.7 percent to $444.8 million, or $1.20 per diluted share, compared with $398.2 million, or $1.05 per share, in the year-ago period.

Revenue for the period declined 1.3 percent to $6.09 billion compared with $6.17 billion in the 2011 period.

The company saw improvement in the third quarter in its core price, said Don Slager, president and CEO. But because of lower recycled commodity pricing and higher fuel expense, Republic is lowering its guidance for 2012 earnings to a range of $1.85 to $1.87 per diluted share, from the previous $1.91 to $1.93 per diluted share.

Republic announced a restructuring of operations and reduction of staff earlier this week.

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