As reported by the U.S.-based Waste Business Journal, Waste Management, Inc. recently announced the financial results for its first quarter ended March 31, 2010.
Net income for the quarter was $182 million, or $0.37 per diluted share, compared with $155 million, or $0.31 per diluted share, for the first quarter of 2009. This is an increase in earnings per diluted share of over 19 per cent.
Revenues for the first quarter of 2010 were $2.93 billion compared with $2.81 billion for the same 2009 period, an increase of 4.4 per cent.
Waste Management noted several items that impacted results in the 2010 and 2009 first quarters.
Results in the first quarter of 2010 included a $17 million after-tax charge related to the partial withdrawal from a Teamsters’ under-funded multi-employer pension plan.
Results in the first quarter of 2009 included a $23 million reduction in net income due to charges related to the restructuring announced in February 2009, and a $30 million reduction in net income related to the abandonment of a revenue management system.
Excluding these items, net income would have been $199 million, or $0.41 per diluted share, in the first quarter of 2010 compared with $208 million, or $0.42 per diluted share, in the first quarter of 2009.
“We overcame several headwinds to produce solid first quarter results,” says David Steiner, Waste Management CEO. “That included severe winter weather, a $0.01 per diluted share expense related to our decision to add stock options as part of our long-term compensation program, and a year-over-year negative impact of $0.02 per diluted share relating to fuel costs, net of fuel surcharge revenues.”
“Virtually all of the signs that we have seen in our business during March and early April suggest a continuing upturn in volumes during the second quarter,” Steiner adds. “Recycling commodity prices remain at a high level, and our recent pricing activities will provide immediate benefit. Given these positive indications, we are confident that we will meet our previously announced full year 2010 earnings guidance range of $2.09 to $2.13 per diluted share, with earnings momentum building steadily throughout the year.”