Waste Management Inc.’s net income dropped 39.3 percent for its fourth quarter and 15 percent for the year.
The Houston-based waste and recycling company said net income for the final period ended Dec. 31 fell to $224 million, or 48 cents per diluted share, compared with $266 million, or 58 cents per share, in the 2011 quarter. Revenue for the quarter rose 0.8 percent to $3.43 billion compared with $3.41 billion a year earlier, according to a news release.
For the year, net earnings slipped to $817 million, or $1.76 per diluted share, compared with $961 million, or $2.04 per share, in 2011. Revenue increased 2 percent to $13.6 billion compared with $13.4 billion a year earlier.
"Our fourth quarter was in line with our expectations. Our internal revenue growth from yield in the fourth quarter was at its highest level for the year,” said David Steiner, Waste Management president and CEO. “This should provide a nice tailwind for improved yield in 2013 – something every manager will be focused on in 2013.”
Steiner said the company also continued to see the benefit of its second quarter reorganization.
However, recycling commodity prices had a negative impact of 25 cents per diluted share and operating expenses increased by $338 million for the year.
For 2013 Steiner said Waste Management expects earnings per diluted share to be between $2.15 and $2.20.