10 Things to Know about Republic’s Third Quarter Results

Republic Services Inc. reported higher net earnings and revenue for its third quarter.

Here are 10 main points about the latest financial results for the Phoenix-based company, for the period ended Sept. 30.

1. Net profits for Republic climbed 16 percent to $215 million, or 61 cents per diluted share, compared with $185.8 million, or 52 cents per diluted share, in 2014. Excluding certain benefits and expenses, adjusted net income totaled $184.7 million in 2015 compared with $186 million a year ago.
2. Revenue rose 3 percent to $2.34 billion from $2.27 billion in 2014, according to a news release.
3. The company’s core price was 3.6 percent, which consisted of 4.7 percent in the open market and 1.8 percent in the restricted portion of its business.
4. The assessment from Donald Slager, president and CEO: "Our results continue to demonstrate the progress we have made with our strategy of profitable growth through differentiation, while capturing the benefits of a steady improvement in solid waste trends. Our initiatives are delivering strong results through a heightened focus on the customer experience and improving service delivery, while reducing costs through operational programs and efficiencies."
5. For the nine-month period, net earnings advanced 16 percent to $577.7 million, or $1.64 per diluted share, compared with $497.3 million, or $1.39 per diluted share, for 2014.
6. Revenue increased 4 percent to $6.82 billion from $6.57 billion.
7. Republic also announced that it approved a repurchase of $900 million of stock, extending through Dec. 31, 2017. That is in addition to $67 million that was authorized earlier. At current prices, $967 million represents more than 6 percent of the company’s outstanding stock shares.
8. Said Slager: "Our share repurchase program reflects our long-term commitment to returning cash to our shareholders. Since we reinstated our repurchase program in 2010, we have consistently and efficiently returned over $1.7 billion to our shareholders through repurchases and reduced our share count by approximately 14 percent."
9. The company said it expects to achieve its full-year financial guidance, which it raised in July. It also gave its preliminary outlook for 2016: Diluted earnings per share should be in the range of $2.13 to $2.17.
10. The company said it was continuing to make progress on its fleet-based initiatives. Currently, 16 percent of its fleet operates on natural gas, and 71 percent of its residential fleet is automated.