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Jun 30
Harsco Q2 2025 Earnings Report
Enviri Corporation reported a decrease in revenues and a consolidated loss from continuing operations in the second quarter of 2025, primarily due to weak demand in Harsco Rail and business divestitures in Harsco Environmental, despite strong performance from Clean Earth.
Key Takeaways
Enviri Corporation experienced a challenging second quarter in 2025, with total revenues declining by 8% year-over-year to $562 million and a GAAP consolidated loss from continuing operations of $46 million. Adjusted EBITDA also decreased to $65 million. The Harsco Rail segment significantly underperformed due to weak demand and operational issues, while the Clean Earth business achieved record Q2 earnings and Harsco Environmental delivered consistent performance despite subdued steel-industry volumes. The company announced a formal process to evaluate strategic alternatives to unlock shareholder value.
Total revenues for Q2 2025 were $562 million, an 8% decrease compared to the prior year.
The company reported a GAAP consolidated loss from continuing operations of $46 million and a diluted loss per share of $0.58.
Adjusted EBITDA for the quarter was $65 million, down from $86 million in Q2 2024.
Harsco Rail's performance was significantly below expectations, while Clean Earth achieved record Q2 earnings and Harsco Environmental remained consistent.
Harsco
Harsco
Harsco Revenue by Segment
Revenue by Segment
Harsco Environmental Revenue
CapyFin.comClean Earth Revenue
CapyFin.comHarsco Rail Revenue
CapyFin.com Forward Guidance
Enviri Corporation has revised its full-year 2025 outlook for Adjusted EBITDA and Free Cash Flow downwards, primarily due to a more cautious view on Harsco Rail's performance, while guidance for Harsco Environmental and Clean Earth remains unchanged.
Positive Outlook
- Clean Earth Adjusted EBITDA is expected to increase due to volume growth, efficiency initiatives, and higher pricing.
- Guidance for Harsco Environmental and Clean Earth segments remains unchanged from the prior quarter, indicating stable performance expectations.
- The company is actively evaluating strategic alternatives to unlock shareholder value, including a potential sale or separation of the Clean Earth business.
- Improvement initiatives, new contracts, and product volumes are expected to partially offset negative impacts in Harsco Environmental.
- Net cash provided by operating activities is projected to be between $141 million and $171 million for the full year 2025.
Challenges Ahead
- Full-year 2025 Adjusted EBITDA guidance was lowered to a range of $290 million to $310 million from $305 million to $325 million.
- Full-year 2025 Free Cash Flow guidance was lowered to a range of $15 million to $35 million from $30 million to $50 million.
- Harsco Rail Adjusted EBITDA is expected to decline versus 2024 due to lower shipments, a less favorable business mix, and higher manufacturing costs.
- Rail orders in North America and Asia have been weak in the first half of 2025, and this softness is anticipated to persist.
- Corporate spending is expected to increase compared to 2024 due to normalization of incentive compensation and non-cash equity compensation.