Key Highlights

  • Consensus EPS of 2.18 compares with diluted EPS of 1.95 reported for the second quarter, against 1.80 a year earlier.
  • Consensus revenue of USD 6.81 billion compares with revenues of USD 6,684 million reported for the second quarter.
  • Operating income was USD 1,253 million against USD 1,151 million, and dividends declared were 0.945 per share against 0.825.
  • Selling, general and administrative expenses were USD 683 million, or 10.2% of revenues, against USD 696 million, or 10.8%.

Waste Management (NYSE:WM) reports third-quarter results on Tuesday, Oct. 27, after the market closes. Consensus stands at EPS of 2.18 on revenue of USD 6.81 billion, and the company has a market capitalization of USD 96.34 billion.

Waste Management reports segments that include Healthcare Solutions, which provides regulated waste and compliance services and secure information destruction. In the second quarter, it reported revenues of USD 6,684 million against USD 6,430 million and net income of USD 785 million against USD 726 million.

Estimates Against the Last Reported Quarter

The EPS estimate of 2.18 is above the diluted EPS of 1.95 reported for the second quarter, which compared with 1.80 a year earlier. The revenue estimate of USD 6.81 billion is above the USD 6,684 million reported.

Operating income was USD 1,253 million against USD 1,151 million, and income before income taxes was USD 1,024 million against USD 928 million. Basic EPS was 1.96 against 1.80.

Cost Lines and Stericycle Synergies

Selling, general and administrative expenses were USD 683 million, or 10.2% of revenues, against USD 696 million, or 10.8%. The filing ties the decrease primarily to lower professional fees and lower labor costs from synergies on acquisitions, particularly Stericycle, partly offset by higher bad debt expenses.

The filing also ties the decrease in labor and related benefits costs to a workforce reduction as synergies were achieved and to lower annual incentive compensation, partly offset by annual wage increases. Lower litigation expenses reduced other expenses in the quarter.

Cost of operations was USD 3,955 million against USD 3,803 million, and depreciation, depletion, amortization and accretion was USD 777 million against USD 744 million. Restructuring was USD 6 million against USD 12 million.

Healthcare Solutions and Capital Returns

The Healthcare Solutions segment generated income from operations in the second quarter and a loss from operations in the six months. The filing attributes the improvement over both periods primarily to non-recurring integration costs in the prior-year periods.

Dividends declared were 0.945 per share against 0.825. The estimates table lists a market capitalization of USD 96.34 billion.

Net income was USD 785 million against USD 726 million, and net income including noncontrolling interests was USD 786 million against USD 727 million. Cash and cash equivalents were USD 557 million at June 30, 2026 against USD 201 million at the prior year-end.

Total assets were USD 46,441 million against USD 45,835 million. The six-month deferred income tax expense was USD 143 million against USD 79 million, and the provision for bad debts was USD 69 million against USD 43 million.

Items to Track in the Report

Diluted EPS against 2.18 and revenue against USD 6.81 billion are the headline comparisons. Other markers are SG&A as a percentage of revenues against 10.2%, Healthcare Solutions operating income and the dividend.