Republic Services Inc (NYSE:RSG) Posts Mixed Q3 2025 Results with EPS Beat and Revenue Miss

Republic Services Inc (NYSE:RSG) released its third-quarter 2025 financial results, presenting a mixed performance that has elicited a measured response from investors. The company demonstrated strength in profitability while facing challenges in its top-line revenue growth, leading to a complex picture for the waste management firm.

Earnings and Revenue Versus Estimates

The quarter was defined by a clear divergence between Republic Services' earnings performance and its revenue generation when measured against Wall Street expectations.

• Adjusted Earnings Per Share (EPS): The company reported a non-GAAP EPS of $1.90. This figure solidly surpassed the analyst consensus estimate of $1.80 per share, representing a beat of approximately 5.6%.
• Revenue: Quarterly revenue came in at $4.21 billion. This missed the market's expected revenue of $4.29 billion, falling short by about 1.9%. The 3.3% year-over-year sales growth was not sufficient to meet the heightened expectations set by analysts.

Market Reaction and Price Action

The market's immediate reaction to this mixed earnings report has been muted, reflecting the balancing act between the earnings beat and the revenue miss. In after-hours trading following the announcement, the stock price saw a negligible increase of less than 0.1%. This tepid response aligns with the stock's recent trajectory, which has seen some pressure over the past month. The stock has declined over 7% in the last month and approximately 5.7% over the past week, suggesting that investor sentiment was cautious heading into the earnings release and the results did little to dramatically alter that perspective.

Summary of Press Release Highlights

Beyond the headline EPS and revenue figures, Republic Services' press release provided further detail on its financial health for the quarter. The company reported a GAAP net income of $550 million, or $1.76 per diluted share, which is a slight decrease from the $566 million, or $1.80 per share, reported in the third quarter of 2024. However, the focus for many investors is on the adjusted metrics, which exclude certain one-time expenses. On this basis, adjusted net income was $594 million, up from $568 million in the prior year period. The company also highlighted strong margin performance, with an adjusted EBITDA margin of 32.8%, indicating efficient operations and pricing power despite the revenue shortfall.

Forward Outlook and Analyst Expectations

The press release did not include a specific financial outlook provided by company management. Consequently, the market will be looking toward the existing analyst estimates for future performance. For the upcoming fourth quarter of 2025, analysts are projecting revenue of $4.25 billion and earnings per share of $1.73. For the full 2025 year, the consensus estimates point toward sales of $16.87 billion. The absence of company-provided guidance in the release is a neutral factor and does not inherently explain the stock's current performance, leaving investors to rely on external analyst models.

For a detailed breakdown of historical earnings, future estimates, and analyst projections, more information is available on the Republic Services earnings and estimates page.

Disclaimer: This article is for informational purposes only and does not constitute financial advice, a recommendation to buy or sell any security, or an offer to provide investment advisory services. All data and information are presented as-is and without warranty.