Waste Connections Beats Estimates; Announces Stock Split/Dividend (WCN)

Waste Connections Inc.

reports Q3 earnings of $0.53 versus consensus of $0.51. Waste Connections Inc. reports revenues of $345.8 million versus consensus of $339.74 million. Revenues increased 9.4% year over year. "We once again are extremely pleased with our results in the quarter as we exceeded the upper end of our expectations. Increased special waste activity and MSW volumes at our landfills, combined with continuing strength in recycled commodity values and discipline in core pricing, were the primary drivers of an approximate 110 basis points expansion in adjusted operating income before depreciation and amortization* as a percentage of revenue and a more than 20% increase in earnings per share compared to the year-ago period," said Ronald J. Mittelstaedt, Chairman and Chief Executive Officer. "Our strong operating performance and free cash flow generation continue to de-lever our balance sheet despite increasing outlays for share repurchases and acquisitions. The stock split and quarterly dividend initiation also announced today reinforce our commitment to broaden our investor base and maximize returns to shareholders, while maintaining continuing flexibility to fund our growth strategy."