Casella Waste Systems Inc. Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended October 31, 2014; Reaffirms Earnings Guidance for the Year Ending December 31, 2015; Reaffirms Operating Guidance for the 8-Month Transition Period Ending December 31, 2014
December 04, 2014 at 04:05 pm EST
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Casella Waste Systems Inc. reported unaudited consolidated earnings results for the second quarter and six months ended October 31, 2014. For the quarter ended October 31, 2014, revenues were $141.3 million, up $9.0 million, or 6.8%, from the same quarter last year, with revenue growth mainly driven by higher disposal volumes, higher solid waste collection pricing, customer solutions growth, and acquisition activity. Operating income was $10.1 million for the quarter, up $0.6 million from the same quarter last year. Adjusted EBITDA was $30.7 million for the quarter, up $1.5 million from the same quarter last year. Excluding the impact of the closure of the Worcester landfill in early calendar year 2014, Adjusted EBITDA was up $2.5 million from the same quarter last year. he company's net income attributable to common stockholders was $0.3 million, or $0.01 per common share for the quarter ended October 31, 2014 compared to a net loss of $0.3 million, or $0.01 per common share, for the same quarter last year. Adjusted Operating income was $10,652,000 against $9,657,000 a year ago. Net cash provided by operating activities was $9,253,000 against $8,593,000 a year ago. Capital expenditures were $18,667,000 against $12,652,000 a year ago. Free cash flow negative was $10,727,000 against $4,903,000 a year ago.
For the six months ended October 31, 2014, revenues were $282.7 million, up $21.8 million, or 8.4% from the same period last year. Operating income was $19.4 million, up $0.2 million, or 1.0% from the same period last year. The company's net loss attributable to common shareholders was $0.0 million, or $0.00 per common share for the six months ended October 31, 2014, compared to a net loss of $0.5 million, or $0.01 per common share for the same period last year. Net cash provided by operating activities was $22,834,000 against $28,119,000 a year ago. Additions to property, plant and equipment was $35,548,000 against $26,059,000 a year ago. Adjusted Operating income was $20,261,000 against $19,523,000 a year ago. Free cash flow was negative $14.8 million year-to-date. This decline was due to mainly 2 factors: one, the planned cash outflows associated with the capping and closure of the Worcester landfill; the final clean-up and site improvements at Maine Energy and BioFuels.
The company reaffirmed its operating guidance for the 8-month transition period ending December 31, 2014 in the following categories: Revenues between $356.0 million and $366.0 million. Adjusted EBITDA expects between $71.0 million and $75.0 million. Capital expenditures expects between $52.0 million and $55.0 million. Free cash flow expects between negative $14 million and negative $17 million.
In addition, the company reaffirmed guidance for its next full fiscal year, which will run from January 1, 2015 through December 31, 2015, by estimating results in the following ranges: Revenues between $520.0 million and $530.0 million; Adjusted EBITDA between $103.0 million and $107.0 million; and free cash flow between $14.0 million and $18.0 million. The company expects CapEx to be roughly 8% to 9% of revenues.
Casella Waste Systems, Inc. is a regional, vertically integrated solid waste services company. The Company manages its solid waste operations on a geographic basis through three regional operating segments: the Eastern, Western and Mid-Atlantic regions. It manages its resource renewal operations through the Resource Solutions operating segment, which leverages its core competencies in materials processing, industrial recycling, organics and resource management service offerings to deliver a solution for its commercial, municipal, institutional and industrial customers. It operates approximately 64 solid waste collection operations, 71 transfer stations, 29 recycling and processing facilities, eight Subtitle D landfills, three landfill gas-to-energy facilities and one landfill permitted to accept construction and demolition materials. It provides integrated solid waste services in Vermont, New Hampshire, New York, Massachusetts, Connecticut, Maine, Pennsylvania, Delaware and Maryland.
Casella Waste Systems Inc. Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended October 31, 2014; Reaffirms Earnings Guidance for the Year Ending December 31, 2015; Reaffirms Operating Guidance for the 8-Month Transition Period Ending December 31, 2014