(Reuters) – Waste management company Republic Services forecast full-year revenue above market estimates on Tuesday, banking on high prices amid sustained demand for garbage collection and disposal.
Shares of the company were up about 3% in aftermarket trading.
The company expects its full-year 2024 revenue to be between $16.10 billion and $16.20 billion, above analysts’ estimate of $15.85 billion, according to LSEG data.
“Our strong financial guidance is supported by pricing in excess of cost inflation,” CEO of Republic Services Jon Vander MArk said.
It expects 2024 profit per share to be between $5.94 and $6.00, analysts’ expected profit of $5.98 per share.
Republic Services and WM are the two biggest companies in the U.S. waste services industry and, along with municipal waste departments, they dominate garbage collection from homes and apartments in large parts of the country.
Earlier this month, peer WM beat quarterly profit estimates, as waste management companies were able to sustain high prices due to the essential nature of its services.
The Arizona-based company posted an adjusted profit of $1.41 per share in the final quarter of 2023, above expectations of $1.29 per share.
(Reporting by Pratyush Thakur and Kannaki Deka in Bengaluru; Editing by Alan Barona)
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