Loading...
•
Jun 30, 2020
Clean Harbors Q2 2020 Earnings Report
Clean Harbors announced financial results for the second quarter ended June 30, 2020, demonstrating resilience in the face of the COVID-19 pandemic.
Key Takeaways
Clean Harbors reported a decrease in revenue to $710.0 million compared to $868.7 million in the same period of 2019. Net income was $29.0 million, or $0.52 per diluted share, compared to $36.2 million, or $0.65 per diluted share, for the same period in 2019. The company enacted cost reduction measures and capitalized on its emergency response service offering to mitigate the impact of COVID-19.
Revenues were $710.0 million, compared to $868.7 million in the same period of 2019.
Net income was $29.0 million, or $0.52 per diluted share.
Adjusted EBITDA was $135.5 million compared with $149.8 million in the same period of 2019.
Environmental Services segment achieved a 17% increase in Adjusted EBITDA.
Clean Harbors
Clean Harbors
Forward Guidance
Clean Harbors reestablished annual guidance, anticipating they can achieve their new targets given their market leadership and actions taken in response to the pandemic.
Positive Outlook
- The company has positioned itself well for the current economic environment.
- A measurable recovery has been seen from the lows experienced in April as both the U.S. and Canadian economies reopened.
- Prudent cost actions should enable the company to weather virus-related slowdowns.
- The emergency response business is partially offsetting lost revenue in other parts of the business.
- The branch business continues to improve as summer-related driving increases demand for services.
Challenges Ahead
- Localized outbreaks have threatened to stall progress in certain states or regions.
- Some Chemical customers have recently slowed production.
- The company still remains below prior year levels.
- Monitoring the impact of new shelter-in-place mandates.
- Economic uncertainties remain.