Clean Harbors : Second Quarter 2021 Investor Review

Second Quarter 2021

Investor Review

August 4, 2021

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Forward Looking Statements and GAAP Disclaimer

These slides contain (and the accompanying oral discussion will contain) forward-looking statements, which are generally identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans to," "seeks," "should," "estimates," "projects," "may," "likely" or similar expressions. Such statements may include, but are not limited to, statements about future financial and operating results, the Company's plans, objectives, expectations and intentions and other statements that are not historical facts. Forward-looking statements are neither historical facts nor assurances of future performance. Such statements are based upon the beliefs and expectations of Clean Harbors' management as of this date only and are subject to certain risks and uncertainties that could cause actual results to differ materially, including, without limitation, the risks and uncertainties surrounding the proposed Clean Harbors and HydroChemPSC ("HPC") transaction, and those items identified as "Risk Factors," disclosed in our periodic filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K filed on February 24, 2021. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date hereof. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Clean Harbors undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements other than through its filings with the SEC, which may be viewed in the "Investors" section of the Clean Harbors website.

Statement Regarding use of Non-GAAP Measures:

Adjusted EBITDA, adjusted free cash flow, adjusted net income and adjusted earnings per share, as presented in these slides, are non-GAAP financial measures and should not be considered alternatives to other measurements under generally accepted accounting principles (GAAP), but viewed only as a supplement to those measurements. These non-GAAP measures are not calculated identically by all companies. Therefore, our measurements of Adjusted EBITDA, adjusted free cash flow, adjusted net income (loss) and adjusted earnings (loss) per share are clearly defined and may not be comparable to similarly titled measures reported by other companies. We believe that Adjusted EBITDA provides additional useful information to investors since our loan covenants are based upon levels of Adjusted EBITDA achieved and the fact that management routinely evaluates the performance of its businesses based upon levels of Adjusted EBITDA. We believe adjusted free cash flow provides useful information to investors about our ability to generate cash. We believe adjusted net income (loss) and adjusted earnings (loss) per share provide useful information about our performance excluding non-recurring or extraordinary items.

Adjusted EBITDA consists of net income (loss) plus accretion of environmental liabilities, stock-based compensation, depreciation and amortization, net interest expense, loss on early extinguishment of debt, provision for income taxes and excludes other gains, losses and non-cash charges not deemed representative of fundamental segment results and other (income) expense, net. Adjusted free cash flow consists of net cash from operating activities excluding cash impacts of items derived from non-operating activities, such as taxes paid in connection with divestitures, less additions to property, plant and equipment plus proceeds from sale of fixed assets. All amounts in USD unless otherwise noted.

For a reconciliation of Adjusted EBITDA and adjusted net income to net income, a reconciliation of adjusted earnings per share to net income per share and a reconciliation of net cash from operating activities to adjusted free cash flow, please refer to the appendix of this presentation.

2

Summary of Q2 Results

• Revenue of $926.5M, a 30% increase YoY; up 15% sequentially from Q1
• Net income of $67.1 million or EPS of $1.22 and Adjusted EPS of $1.19
• Adjusted EBITDA* increased 36% to $187.8M, including $5.2M from government pandemic relief programs; Adjusted EBITDA margin climbed 80 bps to 20.3%
• Adjusted free cash flow was $114.6 million compared with $98.1 million in Q2'20
• Environmental Services segment benefited from continued high-value waste streams and service business recovery, supported by productivity gains and cost measures
• Safety-KleenSustainability Solutions segment grew revenue and profitability substantially due to wider re-refining spread driven by market conditions and YoY increases in volume
• Corporate segment increased YoY due to higher incentive comp, insurance and other areas such as professional fees and investments in information technology and cybersecurity

• For a reconciliation of non-GAAP measures to its nearest GAAP equivalent, please refer to the appendix in this presentation.

3

Environmental Services

$724.1

$612.6

Revenue	+ 18%
(in millions)

Q2 Performance

• Revenue up YoY primarily due to growth in disposal volumes and strong Industrial Services activity. Favorable comparison to Q2'20 when pandemic lockdowns impacted overall economy
• Adjusted EBITDA was flat based on high level of government assistance and COVID decontamination work a year ago, partly offset by higher revenue, pricing, cost savings and mix of waste

Adjusted

EBITDA*

(in millions)

$180. 0

$160. 0

$140. 0

$120. 0

$100. 0

$80. 0

$60. 0

$40. 0

$20. 0

$0.0

Q2 2020	Q2 2021
$176.2	$176.0

28.8% 0%

24.3%

Q2 2020

Q2 2021

Adjusted EBITDA Margin

42.0%

37.0%

32.0%

27.0%

22.0%

17.0%

12.0%

• Incinerator utilization was 87% vs. 87% a year ago and 80% in Q1, reflecting strong waste volumes, particularly high-value streams.
  Average price up 5% from Q2'20
• Landfill tonnage up 13% YoY as project volumes began to recover, while average price per ton up 10%
• $11M from decontamination response work vs. $50M a year ago; completed more than 18,000 responses since inception
• Performed 240K parts washer services up from 215K a year ago, and 235K in Q1; most SK core offerings trending up sequentially

• For a reconciliation of Adjusted EBITDA to net income, please refer to the appendix in this presentation.

4

Safety-Kleen Sustainability Solutions

Revenue

(in millions)

	$70.0
	$60.0
	$50.0
	$40.0
Adjusted	$30.0
EBITDA*	$20.0
(in millions)	$10.0

$-

$202.3

$97.4	+ 108%

Q2 2020	Q2 2021
	$63.3

+ 651%	31.3%

$8.4 8.7%

Q2 2020

Q2 2021

Adjusted EBITDA Margin

41.0%

29.0%

17.0%

5.0%

Q2 Performance

• Revenue increased YoY due substantially higher pricing, more volumes and normal production levels vs prior year where we experienced pandemic-related slowdowns and shutdowns; revenue up 32% from Q1 due to recovery in demand and higher pricing
• Higher Adjusted EBITDA and margin reflect widening of re- refining spread due to supply-driven increases in base oil pricing, supported by productivity and cost initiatives
• Gathered 57 million gallons of waste oil, compared with 43 million a year ago and 47 million in Q1; average charge-for-oil down considerably from a year ago as volumes increased, and base oil prices have doubled
• Reflecting the base oil market opportunities, blended products accounted for 21% of volume compared with 29% a year ago and 23% in Q1; direct volume was 6% in the quarter, compared with 10% a year ago and 7% in Q1

• For a reconciliation of Adjusted EBITDA to net income, please refer to the appendix in this presentation.

5