Clean Harbors, Inc. CLH has reported impressive first-quarter 2024 results, wherein earnings and revenues beat the Zacks Consensus Estimate.

Better-than-expected earnings impressed investors and the CLH stock has gained 5.9% since the release of results on April 30.

CLH’s earnings of $1.09 per share outpaced the Zacks Consensus Estimate by 6.9% but decreased 15.5% from the year-ago quarter. Total revenues of $1.4 billion surpassed the consensus estimate by a slight margin and increased 4% on a year-over-year basis.

The stock has gained 7.3% in a year compared with the 9.8% rise of the industry it belongs to and 7.8% growth of the Zacks S&P 500 composite.

Clean Harbors, Inc. Price, Consensus and EPS Surprise

 

Clean Harbors, Inc. price-consensus-eps-surprise-chart | Clean Harbors, Inc. Quote

CLH’s Segmental Revenues

Environmental Services (ES) revenues of $1.2 billion grew 3.9% from the year-ago quarter, meeting our projection. The HEPACO buyout, increasing pricing and higher incineration utilization drove this segment’s revenues.

Revenues from Safety-Kleen Sustainability Solutions (SKSS) amounted to $224.8 million, increasing 4.4% year over year but missing our estimate of $230.1 million. CLH’s pricing initiatives, record containerized waste services and new products, including aqueous part washers, fueled this segment’s revenue growth.

Clean Harbors’ Profitability Performance

Adjusted EBITDA of $234.9 million grew marginally from the year-ago quarter and beat our projection of $253.2 million. The adjusted EBITDA margin was 16.4%, down 30 basis points from the year-ago quarter.

Segment-wise, adjusted EBITDA for ES amounted to $274.6 million, increasing 3.8% year over year. The figure outpaced our estimate of $281.2 million. Adjusted EBITDA for SKSS was $28.3 million, down 4.9% from the year-ago quarter and missing our projection of $38.4 million.

Balance Sheet & Cash Flow of CLH

Clean Harbors exited the quarter with cash and cash equivalents of $489.4 million compared with $687.2 million at the end of the preceding quarter. Inventories and supplies were $376 million compared with $384.7 million in the fourth quarter of 2024.

Long-term debt (less current portion) was $2.8 billion, flat with the previous quarter. CLH generated $1.6 billion in net cash from operating activities. The capital expenditure amounted to $118.7 million. The adjusted free cash flow utilized was $115.7 million.

Clean Harbor’s Q2 & 2025 Guidance

For the second quarter of 2025, CLH lowers its adjusted EBITDA growth guidance to 1-3% from the preceding quarter’s view of 4-6%.