Republic Services Q3 FY2026: revenue up 8.2%, adjusted EPS up just 2.1%
Republic Services grew third-quarter revenue 8.2% to $4.56 billion and raised full-year guidance for revenue, adjusted EBITDA and adjusted free cash flow, yet adjusted EPS of $1.94 rose only 2.1% as adjusted EBITDA margin slipped to 31.8% from 32.8%. Read the quarter as a pricing story with a cost problem attached: the top line is firing, the bottom line is not keeping pace.
1 · Expected vs. Actual
Free preview belowGAAP EPS of $1.93 rose 9.7% from $1.76, but adjusted EPS of $1.94 rose only 2.1% from $1.90, because last year's adjusted figure already stripped out a $0.13 labor-disruption charge. Against a $1.9465 consensus, adjusted EPS landed roughly 0.3% light. Revenue grew 8.2% while adjusted EPS grew 2.1% — that gap is the quarter.
Revenue rose 8.2% to $4.56 billion from $4.21 billion, faster than the 2.6% and 4.6% booked in the first two quarters of 2026. Core price added 5.3% while volume shaved 0.6%, and environmental solutions plus acquisitions contributed 2.1 and 1.3 percentage points. Underneath, cost of operations rose to 58.4% of revenue from 57.5% a year ago before a $40 million labor-disruption charge.
Management raised the full-year revenue range to $17.425–$17.475 billion, adjusted EBITDA to $5.550–$5.575 billion and adjusted free cash flow to $2.565–$2.585 billion. The revenue band is just $50 million wide, or plus or minus 0.14%, which reads as a promise rather than a forecast. With $13.10 billion booked in nine months, the fourth quarter is implied at roughly $4.32–$4.37 billion.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-03
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