Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 26, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-34223 | |
Entity Registrant Name | CLEAN HARBORS, INC | |
Entity Incorporation, State or Country Code | MA | |
Entity Tax Identification Number | 04-2997780 | |
Entity Address, Address Line One | 42 Longwater Drive | |
Entity Address, City or Town | Norwell | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02061-9149 | |
City Area Code | 781 | |
Local Phone Number | 792-5000 | |
Title of 12(b) Security | Common Stock, $0.01 par value | |
Trading Symbol | CLH | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 53,935,124 | |
Entity Central Index Key | 0000822818 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 337,825 | $ 444,698 |
Short-term marketable securities | 104,811 | 106,101 |
Accounts receivable, net of allowances aggregating $47,129 and $42,209, respectively | 1,039,763 | 983,111 |
Unbilled accounts receivable | 165,592 | 107,859 |
Inventories and supplies | 354,310 | 327,511 |
Prepaid expenses and other current assets | 103,495 | 82,939 |
Total current assets | 2,105,796 | 2,052,219 |
Property, plant and equipment, net | 2,330,484 | 2,193,318 |
Other assets: | ||
Operating lease right-of-use assets | 206,577 | 187,060 |
Goodwill | 1,487,821 | 1,287,736 |
Permits and other intangibles, net | 739,975 | 602,797 |
Other long-term assets | 69,170 | 59,739 |
Total other assets | 2,503,543 | 2,137,332 |
Total assets | 6,939,823 | 6,382,869 |
Current liabilities: | ||
Current portion of long-term debt | 15,102 | 10,000 |
Accounts payable | 452,848 | 451,806 |
Deferred revenue | 106,425 | 95,230 |
Accrued expenses and other current liabilities | 349,435 | 397,157 |
Current portion of closure, post-closure and remedial liabilities | 29,179 | 26,914 |
Current portion of operating lease liabilities | 64,534 | 56,430 |
Total current liabilities | 1,017,523 | 1,037,537 |
Other liabilities: | ||
Closure and post-closure liabilities, less current portion of $14,079 and $13,556, respectively | 105,493 | 105,044 |
Remedial liabilities, less current portion of $15,100 and $13,358, respectively | 94,686 | 97,885 |
Long-term debt, less current portion | 2,778,624 | 2,291,717 |
Operating lease liabilities, less current portion | 145,544 | 131,743 |
Deferred tax liabilities | 361,223 | 353,107 |
Other long-term liabilities | 125,393 | 118,330 |
Total other liabilities | 3,610,963 | 3,097,826 |
Commitments and contingent liabilities (See Note 15) | ||
Stockholders’ equity: | ||
Common stock | 539 | 539 |
Additional paid-in capital | 458,014 | 459,728 |
Accumulated other comprehensive loss | (179,626) | (175,339) |
Retained earnings | 2,032,410 | 1,962,578 |
Total stockholders’ equity | 2,311,337 | 2,247,506 |
Total liabilities and stockholders’ equity | $ 6,939,823 | $ 6,382,869 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Account receivable, allowances aggregating | $ 47,129 | $ 42,209 |
Closure and post-closure liabilities, current portion | 14,079 | 13,556 |
Remedial liabilities, current portion | $ 15,100 | $ 13,358 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized shares (in shares) | 80,000,000 | 80,000,000 |
Common stock, issued shares (in shares) | 53,926,191 | 53,929,703 |
Common stock, outstanding shares (in shares) | 53,926,191 | 53,929,703 |
UNAUDITED CONSOLIDATED STATEMEN
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenues: | ||
Total revenues | $ 1,376,695 | $ 1,307,387 |
Cost of revenues: (exclusive of items shown separately below) | ||
Total cost of revenues | 971,070 | 931,514 |
Selling, general and administrative expenses | 181,868 | 166,753 |
Accretion of environmental liabilities | 3,217 | 3,407 |
Depreciation and amortization | 95,065 | 84,758 |
Income from operations | 125,475 | 120,955 |
Other (expense) income, net | (1,141) | 116 |
Loss on early extinguishment of debt | 0 | (2,362) |
Interest expense, net of interest income of $3,514 and $2,955, respectively | (28,539) | (20,632) |
Income before provision for income taxes | 95,795 | 98,077 |
Provision for income taxes | 25,963 | 25,676 |
Net income | $ 69,832 | $ 72,401 |
Earnings per share: | ||
Basic (in dollars per share) | $ 1.29 | $ 1.34 |
Diluted (in dollars per share) | $ 1.29 | $ 1.33 |
Shares used to compute earnings per share - Basic (in shares) | 53,930 | 54,076 |
Shares used to compute earnings per share - Diluted (in shares) | 54,213 | 54,404 |
Service revenues | ||
Revenues: | ||
Total revenues | $ 1,151,858 | $ 1,053,233 |
Cost of revenues: (exclusive of items shown separately below) | ||
Total cost of revenues | 816,349 | 751,595 |
Product revenues | ||
Revenues: | ||
Total revenues | 224,837 | 254,154 |
Cost of revenues: (exclusive of items shown separately below) | ||
Total cost of revenues | $ 154,721 | $ 179,919 |
UNAUDITED CONSOLIDATED STATEM_2
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Statement [Abstract] | ||
Interest income | $ 3,514 | $ 2,955 |
UNAUDITED CONSOLIDATED STATEM_3
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 69,832 | $ 72,401 |
Other comprehensive loss, net of tax: | ||
Unrealized (loss) gain on available-for-sale securities | (84) | 174 |
Unrealized gain (loss) on fair value of interest rate hedges | 8,661 | (4,829) |
Reclassification adjustment for interest rate hedge amounts realized in net income | (3,733) | (4,124) |
Reclassification adjustment for settlement of interest rate hedges | 0 | (5,905) |
Pension adjustments | 19 | 0 |
Foreign currency translation adjustments | (9,150) | 338 |
Other comprehensive loss, net of tax | (4,287) | (14,346) |
Comprehensive income | $ 65,545 | $ 58,055 |
UNAUDITED CONSOLIDATED STATEM_4
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net income | $ 69,832 | $ 72,401 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Depreciation and amortization | 95,065 | 84,758 |
Allowance for doubtful accounts | 1,728 | 1,398 |
Amortization of deferred financing costs and debt discount | 1,329 | 1,354 |
Accretion of environmental liabilities | 3,217 | 3,407 |
Changes in environmental liability estimates | 917 | 683 |
Deferred income taxes | (88) | (363) |
Other expense (income), net | 1,141 | (116) |
Stock-based compensation | 6,338 | 6,018 |
Loss on early extinguishment of debt | 0 | 2,362 |
Environmental expenditures | (4,729) | (8,348) |
Changes in assets and liabilities, net of acquisitions: | ||
Accounts receivable and unbilled accounts receivable | (44,383) | (5,030) |
Inventories and supplies | (13,572) | 2,758 |
Other current and non-current assets | (25,918) | (17,328) |
Accounts payable | (17,358) | (21,801) |
Other current and long-term liabilities | (54,970) | (94,145) |
Net cash from operating activities | 18,549 | 28,008 |
Cash flows used in investing activities: | ||
Additions to property, plant and equipment | (137,913) | (81,686) |
Proceeds from sale and disposal of fixed assets | 1,008 | 1,855 |
Acquisitions, net of cash acquired | (475,306) | (108,533) |
Proceeds from sale of business, net of transaction costs | 750 | 0 |
Additions to intangible assets including costs to obtain or renew permits | (534) | (333) |
Purchases of available-for-sale securities | (31,228) | (39,037) |
Proceeds from sale of available-for-sale securities | 33,350 | 29,800 |
Net cash used in investing activities | (609,873) | (197,934) |
Cash flows from (used in) financing activities: | ||
Change in uncashed checks | 7,778 | 164 |
Tax payments related to withholdings on vested restricted stock | (3,052) | (3,351) |
Repurchases of common stock | (5,000) | (3,000) |
Deferred financing costs paid | (4,641) | (6,094) |
Payments on finance leases | (4,665) | (3,689) |
Principal payments on debt | (3,776) | (616,475) |
Proceeds from issuance of debt, net of discount | 499,375 | 500,000 |
Borrowing from revolving credit facility | 0 | 114,000 |
Net cash from (used in) financing activities | 486,019 | (18,445) |
Effect of exchange rate change on cash | (1,568) | 75 |
Decrease in cash and cash equivalents | (106,873) | (188,296) |
Cash and cash equivalents, beginning of period | 444,698 | 492,603 |
Cash and cash equivalents, end of period | 337,825 | 304,307 |
Cash payments for interest and income taxes: | ||
Interest paid | 51,243 | 34,878 |
Income taxes paid, net of refunds | 8,020 | 37,141 |
Non-cash investing activities: | ||
Property, plant and equipment accrued | 28,266 | 27,533 |
ROU assets obtained in exchange for operating lease liabilities | 23,101 | 10,203 |
ROU assets obtained in exchange for finance lease liabilities | $ 14,519 | $ 5,153 |
UNAUDITED CONSOLIDATED STATEM_5
UNAUDITED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Retained Earnings |
Balance beginning of period (in shares) at Dec. 31, 2022 | 54,065,000 | ||||
Balance beginning of period at Dec. 31, 2022 | $ 1,922,322 | $ 541 | $ 504,240 | $ (167,181) | $ 1,584,722 |
Increase (Decrease) in Stockholders' Equity | |||||
Net income | 72,401 | 72,401 | |||
Other comprehensive loss | (14,346) | (14,346) | |||
Stock-based compensation | 6,018 | 6,018 | |||
Issuance of common stock for restricted share vesting, net of employee tax withholdings (in shares) | 49,000 | ||||
Issuance of common stock for restricted share vesting, net of employee tax withholdings | (3,351) | (3,351) | |||
Repurchases of common stock (in shares) | (22,000) | ||||
Repurchases of common stock | (3,000) | (3,000) | |||
Balance ending of period (in shares) at Mar. 31, 2023 | 54,092,000 | ||||
Balance ending of period at Mar. 31, 2023 | $ 1,980,044 | $ 541 | 503,907 | (181,527) | 1,657,123 |
Balance beginning of period (in shares) at Dec. 31, 2023 | 53,929,703 | 53,930,000 | |||
Balance beginning of period at Dec. 31, 2023 | $ 2,247,506 | $ 539 | 459,728 | (175,339) | 1,962,578 |
Increase (Decrease) in Stockholders' Equity | |||||
Net income | 69,832 | 69,832 | |||
Other comprehensive loss | (4,287) | (4,287) | |||
Stock-based compensation | 6,338 | 6,338 | |||
Issuance of common stock for restricted share vesting, net of employee tax withholdings (in shares) | 23,000 | ||||
Issuance of common stock for restricted share vesting, net of employee tax withholdings | (3,052) | (3,052) | |||
Repurchases of common stock (in shares) | (27,000) | ||||
Repurchases of common stock | $ (5,000) | (5,000) | |||
Balance ending of period (in shares) at Mar. 31, 2024 | 53,926,191 | 53,926,000 | |||
Balance ending of period at Mar. 31, 2024 | $ 2,311,337 | $ 539 | $ 458,014 | $ (179,626) | $ 2,032,410 |
UNAUDITED CONSOLIDATED STATEM_6
UNAUDITED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (PARENTHETICAL) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Statement of Stockholders' Equity [Abstract] | ||||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION The accompanying consolidated interim financial statements are unaudited and include the accounts of Clean Harbors, Inc. and its subsidiaries (collectively, “Clean Harbors” or the “Company”) and have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and, in the opinion of management, include all adjustments which are of a normal recurring nature and are necessary for a fair presentation of the financial position, results of operations and cash flows for the periods presented. Management has made estimates and assumptions affecting the amounts reported in the Company’s consolidated interim financial statements and accompanying footnotes; actual results could differ from those estimates and judgments. The results for interim periods are not necessarily indicative of results for the entire year or any other interim periods. The financial statements presented herein should be read in conjunction with the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES The Company’s significant accounting policies are described in Note 2, “Significant Accounting Policies,” in the Company's Annual Report on Form 10-K for the year ended December 31, 2023. Accounting Pronouncements Not Yet Adopted In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, S egment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which requires an enhanced disclosure of significant segment expenses on an annual and interim basis. This guidance will be effective for the annual periods beginning the year ended December 31, 2024, and for interim periods beginning January 1, 2025. Early adoption is permitted. Upon adoption, the guidance should be applied retrospectively to all prior periods presented in the financial statements. The Company is currently evaluating the impact of adopting this new pronouncement on its consolidated financial statements and disclosures. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures , which enhances income tax disclosures related to the tax rate reconciliation and income taxes paid. This guidance will be effective for the annual periods beginning the year ended December 31, 2025. Early adoption is permitted. Upon adoption, the guidance can be applied prospectively or retrospectively. The Company is currently evaluating the impact of adopting this new pronouncement on its consolidated financial statements and disclosures. In March 2024, the SEC adopted the final rule under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors . The rules require disclosure of, among other things: material climate-related risks; activities to mitigate or adapt to such risks; governance and management of such risks; and material Scope 1 and Scope 2 greenhouse gas emissions. Additionally, the rules require disclosure in the notes to the financial statements of the effects of severe weather events and other natural conditions, subject to certain materiality thresholds. The rules will become effective on a phased-in timeline beginning the year ended December 31, 2025. The Company is currently evaluating the final rule to determine its impact on the Company’s consolidated financial statements and disclosures. |
REVENUES
REVENUES | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES The Company generates revenues through the following operating segments: Environmental Services and Safety-Kleen Sustainability Solutions (“SKSS”). The Company’s Environmental Services operating segment generally has four sources of revenue and the SKSS operating segment has two sources of revenue. The Company disaggregates third-party revenues by geographic location and source of revenue as management believes these categories depict how revenue and cash flows are affected by economic factors. The Company’s significant sources of revenue include: Technical Services —Technical Services contribute to the revenues of the Environmental Services operating segment. Revenues for these services are generated from fees charged for waste material management and disposal services including onsite environmental management services, collection and transportation, packaging, recycling, treatment and disposal of waste and remediation projects. These services handle hazardous and/or non-hazardous waste, including per- and polyfluoroalkyl substances (“PFAS”). Revenue is primarily generated by short-term projects, most of which are governed by master service agreements that are long-term in nature. These master service agreements are typically entered into with the Company’s larger customers and outline the pricing and legal frameworks for such arrangements. Services are provided based on purchase orders or agreements with the customer and include prices based upon units of volume of waste, material and personnel costs as well as transportation and other fees. Collection and transportation revenues are recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred as a basis for measuring the satisfaction of the performance obligation. Revenues for treatment and disposal of waste are recognized upon completion of treatment, final disposition in a landfill or incinerator, or when the waste is shipped to a third-party for processing and disposal. The Company periodically enters into bundled arrangements for the collection and transportation and disposal of waste. For such arrangements, transportation and disposal are considered distinct performance obligations and the Company allocates revenue to each based on the relative standalone selling price (i.e., the estimated price that a customer would pay for the services on a standalone basis). Revenues and the related costs from waste that is not yet completely processed and disposed of are deferred. The deferred revenues and costs are recognized when the services are completed. The period between collection and transportation and the final processing and disposal ranges depending on the location of the customer, but generally is measured in days. Industrial Services —Industrial Services contribute to the revenues of the Environmental Services operating segment. These revenues are primarily generated from industrial and specialty services provided to refineries, chemical plants, manufacturing facilities, power generation companies and other industrial customers throughout North America. Services include in-plant cleaning and maintenance services, plant outage and turnaround services, specialty cleaning services including chemical cleaning, pigging and high and ultra-high pressure water cleaning, leak detection and repair, daylighting, production services and upstream energy services. Services are provided based on purchase orders or agreements with the customer and include prices based upon daily, hourly or job rates for equipment, materials and personnel. The Company recognizes revenue for these services over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred. Field and Emergency Response Services —Field and Emergency Response Services contribute to the revenues of the Environmental Services operating segment. Field Services revenues are generated from cleanup services at customer sites, including those managed by municipalities and utility providers, or other locations on a scheduled or emergency response basis. Services include confined space entry for tank cleaning, site decontamination, environmental remediation, railcar cleaning, manhole/vault clean outs, product recovery and transfer and vacuum services. Additional services include filtration, water treatment services and wetland restoration. Response services for environmental emergencies of any scale range from man-made disasters such as oil spills to natural disasters like hurricanes. Emergency response services also include spill cleanup on land and water, as well as contagion disinfection, decontamination and disposal services. Field and emergency response services are provided based on purchase orders or agreements with customers and include prices generally based upon daily, hourly or job rates for equipment, materials and personnel. The Company recognizes revenue for these services over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred. The duration of such services can be over a number of hours, several days or even months for larger scale projects. Safety-Kleen Environmental Services —Safety-Kleen Environmental Services revenues contribute both to the Environmental Services operating segment and the SKSS operating segment depending upon the nature of such revenues and operating responsibilities relative to executing the revenue contracts. Revenues from providing containerized waste handling and disposal services, parts washer services and vacuum services, referred to collectively as the Safety-Kleen branches’ core service offerings, contribute to the revenues of the Environmental Services operating segment. In addition, sales of packaged blended oil products and other complementary product sales contribute to the revenues of the Environmental Services operating segment. Revenues generated from waste oil, anti-freeze and oil filter collection services, sales of bulk blended oil products and sales of bulk automotive fluids contribute to the SKSS operating segment. Generally, the revenue from services is recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The duration of such services can be over a number of hours or several days. The Company uses the input method to recognize revenue over time, based on time and materials incurred. Product revenue is recognized upon the transfer of control whereby control transfers when the products are delivered to the customer. Containerized waste services consist of profiling, collecting, transporting and recycling or disposing of a wide variety of waste. Related collection and transportation revenues are recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. Parts washer services include customer use of the Company’s parts washer equipment, cleaning and maintenance of the parts washer equipment and removal and replacement of used cleaning fluids. Parts washer services are considered a single performance obligation due to the highly integrated and interdependent nature of the arrangement. Revenue from parts washer services is recognized over the service interval as the customer receives the benefit of the services. Safety-Kleen Oil —Safety-Kleen Oil related sales contribute to the revenues of the SKSS segment. These revenues are generated from sales of high-quality base and blended lubricating oils to third-party distributors, government agencies, fleets, railroads and industrial customers. The business also sells recycled fuel oil to asphalt plants, industrial plants and pulp and paper companies. The used oil is also processed into vacuum gas oil which can be further re-refined into lubricant base oils or sold directly into the marine diesel oil fuel market. Revenue for oil products is recognized at a point in time, upon the transfer of control. Control transfers when the products are delivered to the customer. The following tables present the Company's third-party revenue disaggregated by source of revenue and geography (in thousands): Three Months Ended March 31, 2024 Environmental Services Safety-Kleen Sustainability Solutions Corporate Total Primary Geographical Markets United States $ 1,053,458 $ 193,912 $ 102 $ 1,247,472 Canada 107,821 21,402 — 129,223 Total third-party revenues $ 1,161,279 $ 215,314 $ 102 $ 1,376,695 Sources of Revenue Technical Services $ 407,491 $ — $ — $ 407,491 Industrial Services and Other 359,397 — 102 359,499 Field and Emergency Response Services 163,469 — — 163,469 Safety-Kleen Environmental Services 230,922 53,021 — 283,943 Safety-Kleen Oil — 162,293 — 162,293 Total third-party revenues $ 1,161,279 $ 215,314 $ 102 $ 1,376,695 Three Months Ended March 31, 2023 Environmental Services Safety-Kleen Sustainability Solutions Corporate Total Primary Geographical Markets United States $ 958,584 $ 221,771 $ 107 $ 1,180,462 Canada 102,398 24,527 — 126,925 Total third-party revenues $ 1,060,982 $ 246,298 $ 107 $ 1,307,387 Sources of Revenue Technical Services $ 366,509 $ — $ — $ 366,509 Industrial Services and Other 336,379 — 107 336,486 Field and Emergency Response Services 148,086 — — 148,086 Safety-Kleen Environmental Services 210,008 49,559 — 259,567 Safety-Kleen Oil — 196,739 — 196,739 Total third-party revenues $ 1,060,982 $ 246,298 $ 107 $ 1,307,387 Contract Balances (in thousands) March 31, 2024 December 31, 2023 Receivables $ 1,039,763 $ 983,111 Contract assets (unbilled receivables) 165,592 107,859 Contract liabilities (deferred revenue) 106,425 95,230 The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (contract assets) and customer advances and deposits or deferred revenue (contract liabilities) on the consolidated balance sheet. Generally, billing occurs subsequent to revenue recognition, as a right to payment is not just subject to passage of time, resulting in contract assets, which are generally classified as current. The Company sometimes receives advances or deposits from its customers before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the consolidated balance sheet on a contract-by-contract basis at the end of each reporting period. The contract liability balances at the beginning of each period presented are generally fully recognized in the subsequent three-month period. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS 2024 Acquisitions On March 22, 2024, the Company completed its acquisition of Hepaco Blocker, Inc. and its subsidiaries (collectively, “HEPACO”) for an all-cash purchase price of $395.4 million, net of cash acquired and subject to final settlement of working capital balances. The operations of HEPACO expand the Environmental Services segment’s field services business. The preliminary allocation of the purchase price is provisional and was based on estimates of the fair value of assets acquired and liabilities assumed as of March 22, 2024. The Company continues to obtain information to complete the valuation of these balances and the associated income tax accounting. Measurement period adjustments will reflect new information obtained about facts and circumstances that existed as of the acquisition date. The following table summarizes the preliminary determination and recognition of assets acquired and liabilities assumed (in thousands): At March 22, 2024 Accounts receivable, including unbilled receivables $ 68,496 Inventories and supplies 1,574 Prepaid expenses and other current assets 5,221 Property, plant and equipment 45,453 Permits and other intangibles 130,000 Operating lease right-of-use assets 9,385 Other long-term assets 2,660 Accrued expenses and other current liabilities (43,966) Current portion of operating lease liabilities (2,758) Operating lease liabilities, less current portion (6,627) Deferred tax liabilities (8,916) Other long-term liabilities (374) Total identifiable net assets 200,148 Goodwill 195,265 Total purchase price $ 395,413 Other intangible assets acquired include customer relationships and trademarks/tradenames and are anticipated to have estimated useful lives of between 10 and 20 years with a weighted average useful life of approximately 19 years . The excess of the total purchase price, which includes the aggregate cash consideration paid in excess of the fair value of the tangible and intangible assets acquired and liabilities assumed, was recorded as goodwill. The goodwill recognized is attributable to the expected operating synergies, assembled workforce and growth potential that the Company expects to realize from the acquisition. Goodwill generated from the acquisition is not deductible for tax purposes. The operations included in the Company’s financial statements for the period ended March 31, 2024 , and pro forma revenue and earnings amounts on a combined basis as if this acquisition had been completed on January 1, 2023 are immaterial to the consolidated financial statements of the Company. On March 1, 2024, the Company acquired a privately-owned business for an all-cash purchase price of $68.9 million, net of cash acquired and subject to the final settlement of working capital balances. The acquired company expands the SKSS segment’s oil collection operations in the southeastern region of the United States while also adding incremental production from the re-refinery owned and operated by the acquired company. The preliminary allocation of the purchase price is provisional and was based on estimates of the fair value of assets acquired and liabilities assumed as of March 1, 2024. The Company continues to obtain information to complete the valuation of these balances and the associated income tax accounting. Measurement period adjustments will reflect new information obtained about facts and circumstances that existed as of the acquisition date. The following table summarizes the preliminary determination and recognition of assets acquired and liabilities assumed (in thousands): At March 1, 2024 Accounts receivable, including unbilled receivables $ 5,693 Inventories and supplies 6,817 Prepaid expenses and other current assets 423 Property, plant and equipment 38,914 Permits and other intangibles 20,200 Operating lease right-of-use assets 3,615 Other long-term assets 92 Accrued expenses and other current liabilities (8,990) Current portion of operating lease liabilities (1,823) Operating lease liabilities, less current portion (1,792) Total identifiable net assets 63,149 Goodwill 5,744 Total purchase price $ 68,893 Other intangible assets acquired include customer relationships and trademarks/tradenames and are anticipated to have estimated useful lives of between 7 and 15 years with a weighted average useful life of approximately 13 years . The excess of the total purchase price, which includes the aggregate cash consideration paid in excess of the fair value of the tangible and intangible assets acquired and liabilities assumed, was recorded as goodwill. The goodwill recognized is attributable to the expected operating synergies and assembled workforce that the Company expects to realize from the acquisition. Goodwill generated from the acquisition is deductible for tax purposes. The operations included in the Company’s financial statements for the period ended March 31, 2024 , and pro forma revenue and earnings amounts on a combined basis as if this acquisition had been completed on January 1, 2023 are immaterial to the consolidated financial statements of the Company. 2023 Acquisition On March 31, 2023, the Company acquired Thompson Industrial Services, LLC (“Thompson Industrial”) for an all-cash purchase price of $110.9 million, net of cash acquired. The operations of Thompson Industrial expand the Environmental Services segment’s industrial service operations in the southeastern region of the United States. The Company finalized the purchase accounting for this acquisition. The allocation of the purchase price was based on estimates of the fair value and assets acquired and liabilities assumed as of March 31, 2023. The following table summarizes the final determination and recognition of assets acquired and liabilities assumed (in thousands): At Acquisition Date As Reported December 31, 2023 Measurement Period Adjustments Final Allocation At Acquisition Date As Reported March 31, 2024 Accounts receivable, including unbilled receivables $ 25,233 $ (73) $ 25,160 Inventories and supplies 228 — 228 Prepaid expenses and other current assets 1,302 — 1,302 Property, plant and equipment 26,719 — 26,719 Permits and other intangibles 28,900 — 28,900 Operating lease right-of-use assets 4,716 — 4,716 Other long-term assets 72 — 72 Accrued expenses and other current liabilities (10,385) (145) (10,530) Current portion of operating lease liabilities (1,653) — (1,653) Operating lease liabilities, less current portion (3,063) — (3,063) Other long-term liabilities (560) — (560) Total identifiable net assets 71,509 (218) 71,291 Goodwill 39,346 218 39,564 Total purchase price $ 110,855 $ — $ 110,855 Permits and other intangible assets acquired include customer relationships, trademarks/tradenames and non-compete agreements and are anticipated to have estimated useful lives of between five |
INVENTORIES AND SUPPLIES
INVENTORIES AND SUPPLIES | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
INVENTORIES AND SUPPLIES | INVENTORIES AND SUPPLIES Inventories and supplies consisted of the following (in thousands): March 31, 2024 December 31, 2023 Supplies $ 194,411 $ 177,217 Oil and oil related products 128,922 118,600 Solvent and solutions 11,618 11,795 Other 19,359 19,899 Total inventories and supplies $ 354,310 $ 327,511 Supplies inventories consist primarily of critical spare parts to support the Company’s incinerator and re-refinery operations and other general supplies used in our normal day-to-day operations. Other inventories consist primarily of parts washer components, cleaning fluids, absorbents and automotive fluids, such as windshield washer fluid and antifreeze. |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consisted of the following (in thousands): March 31, 2024 December 31, 2023 Land $ 184,242 $ 174,891 Asset retirement costs (non-landfill) 27,155 27,167 Landfill assets 252,816 253,180 Buildings and improvements (1) 639,514 630,525 Vehicles (2) 1,345,995 1,276,567 Equipment (3) 2,391,075 2,388,370 Construction in progress 263,878 213,601 5,104,675 4,964,301 Less - accumulated depreciation and amortization 2,774,191 2,770,983 Total property, plant and equipment, net $ 2,330,484 $ 2,193,318 ________________ (1) Balances inclusive of gross right-of-use (“ROU”) assets classified as finance leases of $8.0 million in both periods. (2) Balances inclusive of gross ROU assets classified as finance leases of $175.0 million and $151.7 million, respectively. (3) Balances inclusive of gross ROU assets classified as finance leases of $9.2 million in both periods. Depreciation expense, inclusive of landfill and finance lease amortization, was $82.2 million and $72.0 million for the three months ended March 31, 2024 and March 31, 2023, respectively. The Compan y recorded $2.5 million and $1.2 million of capitalized interest during the three months ended March 31, 2024 and March 31, 2023, respectively, mainly attributable to the construction of a new incinerator in Kimball, Nebraska. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | GOODWILL AND OTHER INTANGIBLE ASSETS The changes in goodwill by segment for the three months ended March 31, 2024 were as follows (in thousands): Environmental Services Safety-Kleen Sustainability Solutions Totals Balance at January 1, 2024 $ 1,112,013 $ 175,723 $ 1,287,736 Increase from current period acquisitions 195,265 5,744 201,009 Measurement period adjustments from prior period acquisitions 218 — 218 Foreign currency translation (815) (327) (1,142) Balance at March 31, 2024 $ 1,306,681 $ 181,140 $ 1,487,821 The Company assesses goodwill on an annual basis as of December 31 or at an interim date when events or changes in the business environment (“triggering events”) would more likely than not reduce the fair value of a reporting unit below its carrying value. During the period ended March 31, 2024, no such triggering events were identified. As of March 31, 2024 and December 31, 2023, the Company’s intangible assets consisted of the following (in thousands): March 31, 2024 December 31, 2023 Cost Accumulated Net Cost Accumulated Net Permits $ 191,130 $ 119,219 $ 71,911 $ 191,747 $ 117,556 $ 74,191 Customer and supplier relationships 739,675 262,894 476,781 604,994 258,879 346,115 Other intangible assets 112,336 41,123 71,213 100,068 37,862 62,206 Total amortizable permits and other intangible assets 1,043,141 423,236 619,905 896,809 414,297 482,512 Trademarks and trade names 120,070 — 120,070 120,285 — 120,285 Total permits and other intangible assets $ 1,163,211 $ 423,236 $ 739,975 $ 1,017,094 $ 414,297 $ 602,797 Amortization expense of permits, customer and supplier relationships and other intangible assets was $12.9 million and $12.7 million in the three months ended March 31, 2024 and March 31, 2023, respectively. The expected amortization of the net carrying amount of finite-lived intangible assets at March 31, 2024 was as follows (in thousands): Years Ending December 31, Expected Amortization 2024 (nine months) $ 37,463 2025 47,957 2026 45,383 2027 43,304 2028 42,044 Thereafter 403,754 $ 619,905 |
ACCRUED EXPENSES AND OTHER CURR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following (in thousands): March 31, 2024 December 31, 2023 Accrued insurance $ 104,566 $ 107,658 Accrued compensation and benefits 72,253 113,236 Accrued income, real estate, sales and other taxes 63,276 44,752 Accrued interest 15,494 33,857 Accrued other 93,846 97,654 $ 349,435 $ 397,157 |
CLOSURE AND POST-CLOSURE LIABIL
CLOSURE AND POST-CLOSURE LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Asset Retirement Obligation Disclosure [Abstract] | |
CLOSURE AND POST-CLOSURE LIABILITIES | CLOSURE AND POST-CLOSURE LIABILITIES The changes to closure and post-closure liabilities (also referred to as “asset retirement obligations”) from January 1, 2024 through March 31, 2024 were as follows (in thousands): Landfill Non-Landfill Total Balance at January 1, 2024 $ 59,443 $ 59,157 $ 118,600 New asset retirement obligations 556 — 556 Accretion 1,221 1,071 2,292 Changes in estimates recorded to consolidated statement of operations — 58 58 Changes in estimates recorded to consolidated balance sheet — 51 51 Expenditures (608) (1,183) (1,791) Currency translation and other (109) (85) (194) Balance at March 31, 2024 $ 60,503 $ 59,069 $ 119,572 In the three months ended March 31, 2024, there were no significant benefits or charges resulting from changes in estimates for closure and post-closure liabilities. |
REMEDIAL LIABILITIES
REMEDIAL LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Environmental Remediation Obligations [Abstract] | |
REMEDIAL LIABILITIES | REMEDIAL LIABILITIES The changes to remedial liabilities from January 1, 2024 through March 31, 2024 were as follows (in thousands): Remedial Remedial Remedial Total Balance at January 1, 2024 $ 1,880 $ 60,277 $ 49,086 $ 111,243 Accretion 22 521 382 925 Changes in estimates recorded to consolidated statement of operations 5 75 779 859 Expenditures (13) (831) (2,094) (2,938) Currency translation and other — (13) (290) (303) Balance at March 31, 2024 $ 1,894 $ 60,029 $ 47,863 $ 109,786 In the three months ended March 31, 2024, there were no significant benefits or charges resulting from changes in estimates for remedial liabilities. |
FINANCING ARRANGEMENTS
FINANCING ARRANGEMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
FINANCING ARRANGEMENTS | FINANCING ARRANGEMENTS Long-Term Debt The following table is a summary of the Company’s long-term debt (in thousands): Current Portion of Long-Term Debt: March 31, 2024 December 31, 2023 Secured senior term loans $ 15,102 $ 10,000 Long-Term Debt: Secured senior term loans due October 8, 2028 1,461,122 970,000 Unsecured senior notes, at 4.875%, due July 15, 2027 (“2027 Notes”) 545,000 545,000 Unsecured senior notes, at 5.125%, due July 15, 2029 (“2029 Notes”) 300,000 300,000 Unsecured senior notes, at 6.375%, due February 1, 2031 (“2031 Notes”) 500,000 500,000 Long-term debt, at par $ 2,806,122 $ 2,315,000 Unamortized debt issuance costs and discount (27,498) (23,283) Long-term debt, at carrying value $ 2,778,624 $ 2,291,717 Financing Activities The Company’s significant financing arrangements are described in Note 12, “Financing Arrangements,” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and, other than as noted below, there have been no material changes to the arrangements described therein. On March 22, 2024, the Company and substantially all of the Company’s domestic subsidiaries entered into Incremental Facility Amendment No. 5 to the Company’s existing Credit Agreement, dated as of June 30, 2017 (“Term Loan Agreement”). Incremental Facility Amendment No. 5 provided for the incurrence of additional term loans (the “2024 Incremental Term Loans”) under the Term Loan Agreement in the aggregate principal amount of $500.0 million. Proceeds from the issuance of the 2024 Incremental Term Loans were $494.7 million after debt discount and debt issuance costs, and were used to fund the acquisition of HEPACO, with the excess increasing the Company’s cash balances. The 2024 Incremental Term Loans are in addition to the aggregate of $980.0 million of term loans (the “Existing Term Loans”) which were outstanding prior to the issuance of the 2024 Incremental Term Loans. Both the 2024 Incremental Term Loans and the Existing Term Loans (collectively referred to as the “2028 Term Loans”) will mature on October 8, 2028, and may be prepaid at any time without premium or penalty other than customary breakage costs or if the Company engages in certain repricing transactions before September 22, 2024, in which event a 1.0% prepayment premium would be due. The Company’s obligations under the 2028 Term Loans are guaranteed by substantially all of the Company’s domestic restricted subsidiaries and secured by liens on substantially all of the assets of the Company and the guarantors. The 2028 Term Loans bear interest, at the Company’s election, at either of the following rates per annum: (a) the sum of Term SOFR (as defined in the Term Loan Agreement) plus a SOFR Adjustment (as defined in the Term Loan Agreement) ranging from 0.11448% to 0.42826% (depending on the duration of the loan) plus 1.75%, or (b) the sum of the Base Rate (as defined in the Term Loan Agreement) plus 0.75%, with Term SOFR being subject to a floor of 0.00% and the Base Rate being subject to a floor of 1.00%. Interest on the 2028 Term Loans is paid monthly with interest payments on the 2024 Incremental Term Loan portion commencing in April 2024. The Company maintains a $400.0 million revolving credit facility under which the Company had no outstanding loan balance as of March 31, 2024 and December 31, 2023. As of March 31, 2024, the Company had $268.0 million available to borrow under the revolving credit facility and outstanding letters of credit were $132.0 million. Subject to certain conditions, this credit facility will expire in October 2025. As of March 31, 2024 and December 31, 2023, the estimated fair value of the Company’s outstanding long-term debt, including the current portion, was $2.8 billion and $2.3 billion, respectively. The Company’s estimates of fair value of its long-term debt, including the current portion, are based on quoted market prices or other available market data which are considered Level 2 measures according to the fair value hierarchy. Level 2 utilizes quoted market prices in markets that are not active, broker or dealer quotation or alternative pricing sources with reasonable levels of price transparency for similar assets and liabilities. As of March 31, 2024, after taking into account the interest rate swaps discussed under the “Cash Flow Hedges” header below, the Company’s variable rate debt consisted of $876.2 million of the 2028 Term Loans. The Company’s interest rate on this variable rate debt as of March 31, 2024 was 7.19%. Cash Flow Hedges The Company’s strategy to hedge against fluctuations in variable interest rates involves entering into interest rate derivative agreements. The Company has entered into interest rate swap agreements with a notional amount of $600.0 million (“2022 Swaps”) to effectively fix the interest rate on $600.0 million principal of the outstanding Existing Term Loans. The fixed rate on these instruments is 1.9645% and the variable rate is linked to the Term SOFR to mirror the variable interest payments for the Existing Term Loans. Including the 1.75% interest rate margin and the 0.11448% SOFR adjustment for the Existing Term Loans, the effective annual interest rate of this $600.0 million is approximately 3.83%. Prior to the phase-out of LIBOR as a referenced rate on June 30, 2023, the fixed rate was 0.931% and the variable rate was linked to LIBOR, again to mirror the LIBOR linked variable interest payments for the Existing Term Loans. With the then 2.00% interest rate margin for the Existing Term Loans, the effective annual interest rate of the $600.0 million was 2.931% through June 30, 2023. The 2022 Swaps will expire on September 30, 2027. At the inception of these instruments, the Company designated the 2022 Swaps as cash flow hedges. As of March 31, 2024, the Company recorded a derivative asset with a fair value of $42.2 million related to the 2022 Swaps. The balance of the derivative asset as of December 31, 2023 was $35.5 million. No ineffectiveness has been identified on the 2022 Swaps and, therefore the change in fair value is recorded in stockholders’ equity as a component of accumulated other comprehensive loss. Amounts are reclassified from accumulated other comprehensive loss into interest expense on the consolidated statement of operations in the same period or periods during which the hedged transactions affect earnings. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following are computations of basic and diluted earnings per share (in thousands, except per share amounts): Three Months Ended March 31, 2024 2023 Numerator for basic and diluted earnings per share: Net income $ 69,832 $ 72,401 Denominator: Weighted-average basic shares outstanding 53,930 54,076 Dilutive effect of outstanding stock awards 283 328 Dilutive shares outstanding 54,213 54,404 Basic earnings per share: $ 1.29 $ 1.34 Diluted earnings per share: $ 1.29 $ 1.33 The Company included all outstanding performance awards and restricted stock awards in the calculation of diluted earnings per share except for as shown in the table below (in thousands): Three Months Ended March 31, 2024 2023 Antidilutive restricted stock awards 3 2 Performance stock awards for which performance criteria was not attained at reporting date 160 116 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS The changes in accumulated other comprehensive loss by component and related tax impacts for the three months ended March 31, 2024 were as follows (in thousands): Foreign Currency Translation Unrealized Loss on Available-For-Sale Securities Unrealized Gain on Fair Value of Interest Rate Hedges Unrealized Loss on Pension Total Balance at January 1, 2024 $ (200,339) $ (4) $ 25,891 $ (887) $ (175,339) Other comprehensive (loss) income before reclassifications (9,150) (106) 11,864 19 2,627 Amounts reclassified out of accumulated other comprehensive loss — — (5,114) — (5,114) Tax benefit (provision) — 22 (1,822) — (1,800) Other comprehensive (loss) income (9,150) (84) 4,928 19 (4,287) Balance at March 31, 2024 $ (209,489) $ (88) $ 30,819 $ (868) $ (179,626) The amount realiz ed in the cons olidated statement of operations during the three months ended March 31, 2024 which was reclassified out of accumu lated other co mprehensive loss was as follows (in thousands): Component of Accumulated Other Comprehensive Loss Three Months Ended March 31, 2024 Location Unrealized Gain on Fair Value of Interest Rate Hedges $ 5,114 Interest expense, net of interest income |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Total stock-based compensation cost recognized for the three months ended March 31, 2024 and March 31, 2023 was $6.3 million and $6.0 million, respectively. The total income tax benefit recognized in the consolidated statements of operations from stock-based compensation expense for the three months ended March 31, 2024 and March 31, 2023 was $1.2 million and $1.0 million, respectively. Restricted Stock Awards The following table summarizes information about restricted stock awards for the three months ended March 31, 2024: Restricted Stock Number of Shares Weighted Average Balance at January 1, 2024 414,623 $ 114.02 Granted 86,523 173.18 Vested (21,092) 112.02 Forfeited (6,690) 128.70 Balance at March 31, 2024 473,364 $ 124.71 As of March 31, 2024, there was $43.9 million of total unrecognized compensation cost arising from restricted stock awards. This cost is expected to be recognized over a weighted average period of 3.3 years. The total fair value of restricted stock vested during the three months ended March 31, 2024 and March 31, 2023 was $3.7 million and $2.1 million, respectively. Performance Stock Awards Performance stock awards are subject to performance criteria established by the Compensation and Human Capital Committee of the Company’s Board of Directors prior to or at the date of grant. The performance stock awards are earned based on achieving certain revenue, Adjusted EBITDA Margin, Return on Invested Capital and Total Recordable Incident Rate targets. Performance stock awards include continued service conditions through vesting. The following table summarizes information about performance stock awards for the three months ended March 31, 2024: Performance Stock Number of Shares Weighted Average Balance at January 1, 2024 181,284 $ 114.10 Granted 77,476 172.76 Vested (19,589) 104.31 Forfeited (1,275) 127.75 Balance at March 31, 2024 237,896 $ 133.94 As of March 31, 2024, there was $7.4 million of total unrecognized compensation cost arising from performance stock awards deemed probable of vesting. The total fair value of performance awards vested during the three months ended March 31, 2024 and March 31, 2023 was $3.7 million and $7.8 million, respectively. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES The Company and its subsidiaries are subject to legal proceedings and claims arising in the ordinary course of business. Actions filed against the Company arise from commercial and employment-related claims including alleged class actions related to sales practices and wage and hour claims. The plaintiffs in these actions may be seeking damages or injunctive relief or both. These actions are in various jurisdictions and stages of proceedings, and some are covered in part by insurance. In addition, the Company’s waste management services operations are regulated by federal, state, provincial and local laws enacted to regulate discharge of materials into the environment, remediation of contaminated soil and groundwater or otherwise protect the environment. This ongoing regulation results in the Company frequently becoming a party to legal or administrative proceedings involving all levels of government authorities and other interested parties. The issues involved in such proceedings generally relate to alleged violations of existing permits and licenses or alleged responsibility under federal or state Superfund laws to remediate contamination at properties owned either by the Company or by other parties (“third-party sites”) to which either the Company or the prior owners of certain of the Company’s facilities shipped waste. At March 31, 2024 and December 31, 2023, the Company had recorded reserves of $28.5 million and $32.4 million, respectively, for actual or probable liabilities related to the legal and administrative proceedings in which the Company was then involved, the principal of which are described below. As of March 31, 2024 and December 31, 2023, the $28.5 million and $32.4 million, respectively, of reserves consisted of (i) $23.6 million and $25.0 million, respectively, related to pending legal or administrative proceedings, including Superfund liabilities, which were included in remedial liabilities on the consolidated balance sheets, and (ii) $4.9 million and $7.4 million, respectively, primarily related to federal, state and provincial enforcement actions, which were included in accrued expenses on the consolidated balance sheets. In management’s opinion, it is not reasonably possible that the potential liability beyond what has been recorded, if any, that may result from these actions, either individually or collectively, will have a material effect on the Company’s financial position, results of operations or cash flows. The Company periodically adjusts the aggregate amount of these reserves when actual or probable liabilities are paid or otherwise discharged, new claims arise, or additional relevant information about existing or probable claims becomes available. Legal or Administrative Proceedings As of March 31, 2024, the principal legal and administrative proceedings in which the Company was involved, or which had been terminated during 2024, relate to Safety-Kleen product liability cases and Superfund proceedings. Safety-Kleen Product Liability Cases: Safety-Kleen, Inc. (“Safety-Kleen”), which is a legal entity acquired by the Company in 2012, has been named as a defendant in certain product liability cases that are currently pending in various courts and jurisdictions throughout the United States. As of March 31, 2024, there were approximately 70 proceedings (excluding cases which have been settled but not formally dismissed) wherein persons claim personal injury resulting from the use of Safety-Kleen’s parts cleaning equipment or cleaning products. These proceedings typically involve allegations that the solvent used in Safety-Kleen’s parts cleaning equipment contains contaminants and/or that Safety-Kleen’s recycling process does not effectively remove the contaminants that become entrained in the solvent during their use. In addition, certain claimants assert that Safety-Kleen failed to warn adequately the product user of potential risks, including a historic failure to warn that solvent contains trace amounts of toxic or hazardous substances such as benzene. The Company maintains insurance that it believes will provide coverage for these product liability claims (over amounts accrued for self-insured retentions and deductibles in certain limited cases), except for punitive damages to the extent not insurable under state law or excluded from insurance coverage. The Company historically has vigorously defended, and intends to continue to vigorously defend, itself and the safety of its products against all of these claims. Such matters are subject to many uncertainties and outcomes are not predictable with assurance. Consequently, the Company is unable to ascertain the ultimate aggregate amount of monetary liability or financial impact with respect to these matters as of March 31, 2024. From January 1, 2024 to March 31, 2024, four product liability claims were settled or dismissed. Due to the nature of these claims and the related insurance, the Company did not incur any expense as insurance provided coverage in full for all such claims. Safety-Kleen may be named in similar, additional lawsuits in the future, including claims for which insurance coverage may not be available. Superfund Proceedings: The Company has been notified that either the Company (which, since December 28, 2012, has included Safety-Kleen) or the prior owners of certain of the Company’s facilities for which the Company may have certain indemnification obligations have been identified as potentially responsible parties (“PRPs”) or potential PRPs in connection with 131 sites which are subject to or are proposed to become subject to proceedings under federal or state Superfund laws. Of the 131 Superfund related sites, six involve facilities that are now owned or leased by the Company and 125 involve third-party sites to which either the Company or the prior owners of certain of the Company’s facilities shipped waste. Of the 125 third-party sites, 30 are now settled, 13 are currently requiring expenditures on remediation and 82 are not currently requiring expenditures on remediation. In connection with each site, the Company has estimated the extent, if any, to which it may be subject, either directly or as a result of any indemnification obligations, for cleanup and remediation costs, related legal and consulting costs associated with PRP investigations, settlements and related legal and administrative proceedings. The amount of such actual and potential liability is inherently difficult to estimate because of, among other relevant factors, uncertainties as to the legal liability (if any) of the Company or the prior owners of certain of the Company’s facilities to contribute a portion of the cleanup costs, the assumptions that must be made in calculating the estimated cost and timing of remediation, the identification of other PRPs and their respective capability and obligation to contribute to remediation efforts and the existence and legal standing of indemnification agreements (if any) with prior owners, which may either benefit the Company or subject the Company to potential indemnification obligations. The Company believes its potential monetary liability could exceed $1.0 million at three of the 131 Superfund related sites. Of the 125 third-party sites at which the Company has been notified it is a PRP or potential PRP or may have indemnification obligations, the Company has indemnification agreements at a total of 17 sites. These agreements indemnify the Company (which now includes Safety-Kleen) with respect to any liability at the 17 sites for waste disposed prior to the Company’s (or Safety-Kleen’s) acquisition of the former subsidiaries of Waste Management, Inc. and McKesson Corporation which had shipped waste to those sites. Accordingly, the indemnifying parties are paying all costs of defending those subsidiaries in those 17 cases, including legal fees and settlement costs. However, there can be no guarantee that the Company’s ultimate liabilities for those sites will not exceed the amount recorded or that indemnities applicable to any of these sites will be available to pay all or a portion of related costs. Except for those indemnification agreements discussed, the Company does not have an indemnity agreement with respect to any of the 125 third-party sites discussed above. Federal, State and Provincial Enforcement Actions From time to time, the Company pays fines or penalties in regulatory proceedings relating primarily to waste treatment, storage or disposal facilities. As of March 31, 2024 and December 31, 2023 there were no proceedings for which the Company believes it is possible that the sanctions could equal or exceed $1.0 million. The Company believes that the fines or other penalties in this or any of the other regulatory proceedings will, individually or in the aggregate, not have a material effect on its financial condition, results of operations or cash flows. |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING Segment reporting is prepared on the same basis that the Company’s chief operating decision maker, which is a committee comprised of the Company’s Co-Chief Executive Officers, manages the business, makes operating decisions and assesses performance. The Company is managed and reports as two operating segments; (i) the Environmental Services segment and (ii) the Safety-Kleen Sustainability Solutions segment. Third-party revenue is revenue billed to outside customers by a particular segment. Direct revenue is revenue allocated to the segment providing the product or service. Intersegment revenues represent the sharing of third-party revenues among the segments based on products and services provided by each segment as if the products and services were sold directly to the third-party. The intersegment revenues are shown net. The operations not managed through the Company’s operating segments described above are recorded as “Corporate Items.” The following tables reconcile third-party revenues to direct revenues for the three months ended March 31, 2024 and 2023 (in thousands): Three Months Ended Three Months Ended March 31, 2024 March 31, 2023 Third-Party Revenues Intersegment Revenues (Expenses), net Direct Revenues Third-Party Revenues Intersegment Revenues (Expenses), net Direct Revenues Environmental Services $ 1,161,279 $ 11,231 $ 1,172,510 $ 1,060,982 $ 9,759 $ 1,070,741 Safety-Kleen Sustainability Solutions 215,314 (11,231) 204,083 246,298 (9,759) 236,539 Corporate Items 102 — 102 107 — 107 Total $ 1,376,695 $ — $ 1,376,695 $ 1,307,387 $ — $ 1,307,387 The primary financial measure by which the Company evaluates the performance of its segments is Adjusted EBITDA, which consists of net income plus accretion of environmental liabilities, stock-based compensation, depreciation and amortization, net interest expense, loss on early extinguishment of debt and provision for income taxes and excludes other gains, losses and non-cash charges not deemed representative of fundamental segment results and other (expense) income, net. Transactions between the segments are accounted for at the Company’s best estimate based on similar transactions with outside customers. The following table presents Adjusted EBITDA information used by management by reported segment (in thousands): Three Months Ended March 31, 2024 2023 Adjusted EBITDA: Environmental Services $ 264,475 $ 228,345 Safety-Kleen Sustainability Solutions 29,700 41,463 Corporate Items (64,080) (54,670) Total 230,095 215,138 Reconciliation to Consolidated Statements of Operations: Accretion of environmental liabilities 3,217 3,407 Stock-based compensation 6,338 6,018 Depreciation and amortization 95,065 84,758 Income from operations 125,475 120,955 Other expense (income), net 1,141 (116) Loss on early extinguishment of debt — 2,362 Interest expense, net of interest income 28,539 20,632 Income before provision for income taxes $ 95,795 $ 98,077 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net income | $ 69,832 | $ 72,401 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Accounting pronouncements not yet adopted | Accounting Pronouncements Not Yet Adopted In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, S egment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which requires an enhanced disclosure of significant segment expenses on an annual and interim basis. This guidance will be effective for the annual periods beginning the year ended December 31, 2024, and for interim periods beginning January 1, 2025. Early adoption is permitted. Upon adoption, the guidance should be applied retrospectively to all prior periods presented in the financial statements. The Company is currently evaluating the impact of adopting this new pronouncement on its consolidated financial statements and disclosures. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures , which enhances income tax disclosures related to the tax rate reconciliation and income taxes paid. This guidance will be effective for the annual periods beginning the year ended December 31, 2025. Early adoption is permitted. Upon adoption, the guidance can be applied prospectively or retrospectively. The Company is currently evaluating the impact of adopting this new pronouncement on its consolidated financial statements and disclosures. In March 2024, the SEC adopted the final rule under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors . The rules require disclosure of, among other things: material climate-related risks; activities to mitigate or adapt to such risks; governance and management of such risks; and material Scope 1 and Scope 2 greenhouse gas emissions. Additionally, the rules require disclosure in the notes to the financial statements of the effects of severe weather events and other natural conditions, subject to certain materiality thresholds. The rules will become effective on a phased-in timeline beginning the year ended December 31, 2025. The Company is currently evaluating the final rule to determine its impact on the Company’s consolidated financial statements and disclosures. |
Revenue recognition | The Company generates revenues through the following operating segments: Environmental Services and Safety-Kleen Sustainability Solutions (“SKSS”). The Company’s Environmental Services operating segment generally has four sources of revenue and the SKSS operating segment has two sources of revenue. The Company disaggregates third-party revenues by geographic location and source of revenue as management believes these categories depict how revenue and cash flows are affected by economic factors. The Company’s significant sources of revenue include: Technical Services —Technical Services contribute to the revenues of the Environmental Services operating segment. Revenues for these services are generated from fees charged for waste material management and disposal services including onsite environmental management services, collection and transportation, packaging, recycling, treatment and disposal of waste and remediation projects. These services handle hazardous and/or non-hazardous waste, including per- and polyfluoroalkyl substances (“PFAS”). Revenue is primarily generated by short-term projects, most of which are governed by master service agreements that are long-term in nature. These master service agreements are typically entered into with the Company’s larger customers and outline the pricing and legal frameworks for such arrangements. Services are provided based on purchase orders or agreements with the customer and include prices based upon units of volume of waste, material and personnel costs as well as transportation and other fees. Collection and transportation revenues are recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred as a basis for measuring the satisfaction of the performance obligation. Revenues for treatment and disposal of waste are recognized upon completion of treatment, final disposition in a landfill or incinerator, or when the waste is shipped to a third-party for processing and disposal. The Company periodically enters into bundled arrangements for the collection and transportation and disposal of waste. For such arrangements, transportation and disposal are considered distinct performance obligations and the Company allocates revenue to each based on the relative standalone selling price (i.e., the estimated price that a customer would pay for the services on a standalone basis). Revenues and the related costs from waste that is not yet completely processed and disposed of are deferred. The deferred revenues and costs are recognized when the services are completed. The period between collection and transportation and the final processing and disposal ranges depending on the location of the customer, but generally is measured in days. Industrial Services —Industrial Services contribute to the revenues of the Environmental Services operating segment. These revenues are primarily generated from industrial and specialty services provided to refineries, chemical plants, manufacturing facilities, power generation companies and other industrial customers throughout North America. Services include in-plant cleaning and maintenance services, plant outage and turnaround services, specialty cleaning services including chemical cleaning, pigging and high and ultra-high pressure water cleaning, leak detection and repair, daylighting, production services and upstream energy services. Services are provided based on purchase orders or agreements with the customer and include prices based upon daily, hourly or job rates for equipment, materials and personnel. The Company recognizes revenue for these services over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred. Field and Emergency Response Services —Field and Emergency Response Services contribute to the revenues of the Environmental Services operating segment. Field Services revenues are generated from cleanup services at customer sites, including those managed by municipalities and utility providers, or other locations on a scheduled or emergency response basis. Services include confined space entry for tank cleaning, site decontamination, environmental remediation, railcar cleaning, manhole/vault clean outs, product recovery and transfer and vacuum services. Additional services include filtration, water treatment services and wetland restoration. Response services for environmental emergencies of any scale range from man-made disasters such as oil spills to natural disasters like hurricanes. Emergency response services also include spill cleanup on land and water, as well as contagion disinfection, decontamination and disposal services. Field and emergency response services are provided based on purchase orders or agreements with customers and include prices generally based upon daily, hourly or job rates for equipment, materials and personnel. The Company recognizes revenue for these services over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The Company uses the input method to recognize revenue over time, based on time and materials incurred. The duration of such services can be over a number of hours, several days or even months for larger scale projects. Safety-Kleen Environmental Services —Safety-Kleen Environmental Services revenues contribute both to the Environmental Services operating segment and the SKSS operating segment depending upon the nature of such revenues and operating responsibilities relative to executing the revenue contracts. Revenues from providing containerized waste handling and disposal services, parts washer services and vacuum services, referred to collectively as the Safety-Kleen branches’ core service offerings, contribute to the revenues of the Environmental Services operating segment. In addition, sales of packaged blended oil products and other complementary product sales contribute to the revenues of the Environmental Services operating segment. Revenues generated from waste oil, anti-freeze and oil filter collection services, sales of bulk blended oil products and sales of bulk automotive fluids contribute to the SKSS operating segment. Generally, the revenue from services is recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. The duration of such services can be over a number of hours or several days. The Company uses the input method to recognize revenue over time, based on time and materials incurred. Product revenue is recognized upon the transfer of control whereby control transfers when the products are delivered to the customer. Containerized waste services consist of profiling, collecting, transporting and recycling or disposing of a wide variety of waste. Related collection and transportation revenues are recognized over time, as the customer receives and consumes the benefits of the services as they are being performed and the Company has a right to payment for performance completed to date. Parts washer services include customer use of the Company’s parts washer equipment, cleaning and maintenance of the parts washer equipment and removal and replacement of used cleaning fluids. Parts washer services are considered a single performance obligation due to the highly integrated and interdependent nature of the arrangement. Revenue from parts washer services is recognized over the service interval as the customer receives the benefit of the services. Safety-Kleen Oil —Safety-Kleen Oil related sales contribute to the revenues of the SKSS segment. These revenues are generated from sales of high-quality base and blended lubricating oils to third-party distributors, government agencies, fleets, railroads and industrial customers. The business also sells recycled fuel oil to asphalt plants, industrial plants and pulp and paper companies. The used oil is also processed into vacuum gas oil which can be further re-refined into lubricant base oils or sold directly into the marine diesel oil fuel market. Revenue for oil products is recognized at a point in time, upon the transfer of control. Control transfers when the products are delivered to the customer. |
REVENUES (Tables)
REVENUES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present the Company's third-party revenue disaggregated by source of revenue and geography (in thousands): Three Months Ended March 31, 2024 Environmental Services Safety-Kleen Sustainability Solutions Corporate Total Primary Geographical Markets United States $ 1,053,458 $ 193,912 $ 102 $ 1,247,472 Canada 107,821 21,402 — 129,223 Total third-party revenues $ 1,161,279 $ 215,314 $ 102 $ 1,376,695 Sources of Revenue Technical Services $ 407,491 $ — $ — $ 407,491 Industrial Services and Other 359,397 — 102 359,499 Field and Emergency Response Services 163,469 — — 163,469 Safety-Kleen Environmental Services 230,922 53,021 — 283,943 Safety-Kleen Oil — 162,293 — 162,293 Total third-party revenues $ 1,161,279 $ 215,314 $ 102 $ 1,376,695 Three Months Ended March 31, 2023 Environmental Services Safety-Kleen Sustainability Solutions Corporate Total Primary Geographical Markets United States $ 958,584 $ 221,771 $ 107 $ 1,180,462 Canada 102,398 24,527 — 126,925 Total third-party revenues $ 1,060,982 $ 246,298 $ 107 $ 1,307,387 Sources of Revenue Technical Services $ 366,509 $ — $ — $ 366,509 Industrial Services and Other 336,379 — 107 336,486 Field and Emergency Response Services 148,086 — — 148,086 Safety-Kleen Environmental Services 210,008 49,559 — 259,567 Safety-Kleen Oil — 196,739 — 196,739 Total third-party revenues $ 1,060,982 $ 246,298 $ 107 $ 1,307,387 |
Schedule of Contract Balances | (in thousands) March 31, 2024 December 31, 2023 Receivables $ 1,039,763 $ 983,111 Contract assets (unbilled receivables) 165,592 107,859 Contract liabilities (deferred revenue) 106,425 95,230 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary determination and recognition of assets acquired and liabilities assumed (in thousands): At March 22, 2024 Accounts receivable, including unbilled receivables $ 68,496 Inventories and supplies 1,574 Prepaid expenses and other current assets 5,221 Property, plant and equipment 45,453 Permits and other intangibles 130,000 Operating lease right-of-use assets 9,385 Other long-term assets 2,660 Accrued expenses and other current liabilities (43,966) Current portion of operating lease liabilities (2,758) Operating lease liabilities, less current portion (6,627) Deferred tax liabilities (8,916) Other long-term liabilities (374) Total identifiable net assets 200,148 Goodwill 195,265 Total purchase price $ 395,413 At March 1, 2024 Accounts receivable, including unbilled receivables $ 5,693 Inventories and supplies 6,817 Prepaid expenses and other current assets 423 Property, plant and equipment 38,914 Permits and other intangibles 20,200 Operating lease right-of-use assets 3,615 Other long-term assets 92 Accrued expenses and other current liabilities (8,990) Current portion of operating lease liabilities (1,823) Operating lease liabilities, less current portion (1,792) Total identifiable net assets 63,149 Goodwill 5,744 Total purchase price $ 68,893 At Acquisition Date As Reported December 31, 2023 Measurement Period Adjustments Final Allocation At Acquisition Date As Reported March 31, 2024 Accounts receivable, including unbilled receivables $ 25,233 $ (73) $ 25,160 Inventories and supplies 228 — 228 Prepaid expenses and other current assets 1,302 — 1,302 Property, plant and equipment 26,719 — 26,719 Permits and other intangibles 28,900 — 28,900 Operating lease right-of-use assets 4,716 — 4,716 Other long-term assets 72 — 72 Accrued expenses and other current liabilities (10,385) (145) (10,530) Current portion of operating lease liabilities (1,653) — (1,653) Operating lease liabilities, less current portion (3,063) — (3,063) Other long-term liabilities (560) — (560) Total identifiable net assets 71,509 (218) 71,291 Goodwill 39,346 218 39,564 Total purchase price $ 110,855 $ — $ 110,855 |
INVENTORIES AND SUPPLIES (Table
INVENTORIES AND SUPPLIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories and Supplies | Inventories and supplies consisted of the following (in thousands): March 31, 2024 December 31, 2023 Supplies $ 194,411 $ 177,217 Oil and oil related products 128,922 118,600 Solvent and solutions 11,618 11,795 Other 19,359 19,899 Total inventories and supplies $ 354,310 $ 327,511 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consisted of the following (in thousands): March 31, 2024 December 31, 2023 Land $ 184,242 $ 174,891 Asset retirement costs (non-landfill) 27,155 27,167 Landfill assets 252,816 253,180 Buildings and improvements (1) 639,514 630,525 Vehicles (2) 1,345,995 1,276,567 Equipment (3) 2,391,075 2,388,370 Construction in progress 263,878 213,601 5,104,675 4,964,301 Less - accumulated depreciation and amortization 2,774,191 2,770,983 Total property, plant and equipment, net $ 2,330,484 $ 2,193,318 ________________ (1) Balances inclusive of gross right-of-use (“ROU”) assets classified as finance leases of $8.0 million in both periods. (2) Balances inclusive of gross ROU assets classified as finance leases of $175.0 million and $151.7 million, respectively. (3) Balances inclusive of gross ROU assets classified as finance leases of $9.2 million in both periods. |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes to Goodwill | The changes in goodwill by segment for the three months ended March 31, 2024 were as follows (in thousands): Environmental Services Safety-Kleen Sustainability Solutions Totals Balance at January 1, 2024 $ 1,112,013 $ 175,723 $ 1,287,736 Increase from current period acquisitions 195,265 5,744 201,009 Measurement period adjustments from prior period acquisitions 218 — 218 Foreign currency translation (815) (327) (1,142) Balance at March 31, 2024 $ 1,306,681 $ 181,140 $ 1,487,821 |
Schedule of Finite-Lived Intangible Assets | As of March 31, 2024 and December 31, 2023, the Company’s intangible assets consisted of the following (in thousands): March 31, 2024 December 31, 2023 Cost Accumulated Net Cost Accumulated Net Permits $ 191,130 $ 119,219 $ 71,911 $ 191,747 $ 117,556 $ 74,191 Customer and supplier relationships 739,675 262,894 476,781 604,994 258,879 346,115 Other intangible assets 112,336 41,123 71,213 100,068 37,862 62,206 Total amortizable permits and other intangible assets 1,043,141 423,236 619,905 896,809 414,297 482,512 Trademarks and trade names 120,070 — 120,070 120,285 — 120,285 Total permits and other intangible assets $ 1,163,211 $ 423,236 $ 739,975 $ 1,017,094 $ 414,297 $ 602,797 |
Summary of Indefinite-Lived Intangible Assets | As of March 31, 2024 and December 31, 2023, the Company’s intangible assets consisted of the following (in thousands): March 31, 2024 December 31, 2023 Cost Accumulated Net Cost Accumulated Net Permits $ 191,130 $ 119,219 $ 71,911 $ 191,747 $ 117,556 $ 74,191 Customer and supplier relationships 739,675 262,894 476,781 604,994 258,879 346,115 Other intangible assets 112,336 41,123 71,213 100,068 37,862 62,206 Total amortizable permits and other intangible assets 1,043,141 423,236 619,905 896,809 414,297 482,512 Trademarks and trade names 120,070 — 120,070 120,285 — 120,285 Total permits and other intangible assets $ 1,163,211 $ 423,236 $ 739,975 $ 1,017,094 $ 414,297 $ 602,797 |
Schedule of Expected Amortization for the Net Carrying Amount of Finite Lived Intangible Assets | The expected amortization of the net carrying amount of finite-lived intangible assets at March 31, 2024 was as follows (in thousands): Years Ending December 31, Expected Amortization 2024 (nine months) $ 37,463 2025 47,957 2026 45,383 2027 43,304 2028 42,044 Thereafter 403,754 $ 619,905 |
ACCRUED EXPENSES AND OTHER CU_2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses and other current liabilities consisted of the following (in thousands): March 31, 2024 December 31, 2023 Accrued insurance $ 104,566 $ 107,658 Accrued compensation and benefits 72,253 113,236 Accrued income, real estate, sales and other taxes 63,276 44,752 Accrued interest 15,494 33,857 Accrued other 93,846 97,654 $ 349,435 $ 397,157 |
CLOSURE AND POST-CLOSURE LIAB_2
CLOSURE AND POST-CLOSURE LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Closure and Post-Closure Liabilities | The changes to closure and post-closure liabilities (also referred to as “asset retirement obligations”) from January 1, 2024 through March 31, 2024 were as follows (in thousands): Landfill Non-Landfill Total Balance at January 1, 2024 $ 59,443 $ 59,157 $ 118,600 New asset retirement obligations 556 — 556 Accretion 1,221 1,071 2,292 Changes in estimates recorded to consolidated statement of operations — 58 58 Changes in estimates recorded to consolidated balance sheet — 51 51 Expenditures (608) (1,183) (1,791) Currency translation and other (109) (85) (194) Balance at March 31, 2024 $ 60,503 $ 59,069 $ 119,572 |
REMEDIAL LIABILITIES (Tables)
REMEDIAL LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of Changes to Remedial Liabilities | The changes to remedial liabilities from January 1, 2024 through March 31, 2024 were as follows (in thousands): Remedial Remedial Remedial Total Balance at January 1, 2024 $ 1,880 $ 60,277 $ 49,086 $ 111,243 Accretion 22 521 382 925 Changes in estimates recorded to consolidated statement of operations 5 75 779 859 Expenditures (13) (831) (2,094) (2,938) Currency translation and other — (13) (290) (303) Balance at March 31, 2024 $ 1,894 $ 60,029 $ 47,863 $ 109,786 |
FINANCING ARRANGEMENTS (Tables)
FINANCING ARRANGEMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of the Entity's Financial Arrangements | The following table is a summary of the Company’s long-term debt (in thousands): Current Portion of Long-Term Debt: March 31, 2024 December 31, 2023 Secured senior term loans $ 15,102 $ 10,000 Long-Term Debt: Secured senior term loans due October 8, 2028 1,461,122 970,000 Unsecured senior notes, at 4.875%, due July 15, 2027 (“2027 Notes”) 545,000 545,000 Unsecured senior notes, at 5.125%, due July 15, 2029 (“2029 Notes”) 300,000 300,000 Unsecured senior notes, at 6.375%, due February 1, 2031 (“2031 Notes”) 500,000 500,000 Long-term debt, at par $ 2,806,122 $ 2,315,000 Unamortized debt issuance costs and discount (27,498) (23,283) Long-term debt, at carrying value $ 2,778,624 $ 2,291,717 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Reconciliation of Basic and Diluted Earnings Per Share Computations | The following are computations of basic and diluted earnings per share (in thousands, except per share amounts): Three Months Ended March 31, 2024 2023 Numerator for basic and diluted earnings per share: Net income $ 69,832 $ 72,401 Denominator: Weighted-average basic shares outstanding 53,930 54,076 Dilutive effect of outstanding stock awards 283 328 Dilutive shares outstanding 54,213 54,404 Basic earnings per share: $ 1.29 $ 1.34 Diluted earnings per share: $ 1.29 $ 1.33 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The Company included all outstanding performance awards and restricted stock awards in the calculation of diluted earnings per share except for as shown in the table below (in thousands): Three Months Ended March 31, 2024 2023 Antidilutive restricted stock awards 3 2 Performance stock awards for which performance criteria was not attained at reporting date 160 116 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | The changes in accumulated other comprehensive loss by component and related tax impacts for the three months ended March 31, 2024 were as follows (in thousands): Foreign Currency Translation Unrealized Loss on Available-For-Sale Securities Unrealized Gain on Fair Value of Interest Rate Hedges Unrealized Loss on Pension Total Balance at January 1, 2024 $ (200,339) $ (4) $ 25,891 $ (887) $ (175,339) Other comprehensive (loss) income before reclassifications (9,150) (106) 11,864 19 2,627 Amounts reclassified out of accumulated other comprehensive loss — — (5,114) — (5,114) Tax benefit (provision) — 22 (1,822) — (1,800) Other comprehensive (loss) income (9,150) (84) 4,928 19 (4,287) Balance at March 31, 2024 $ (209,489) $ (88) $ 30,819 $ (868) $ (179,626) |
Schedule of Reclassification Out of Accumulated Other Comprehensive Loss | The amount realiz ed in the cons olidated statement of operations during the three months ended March 31, 2024 which was reclassified out of accumu lated other co mprehensive loss was as follows (in thousands): Component of Accumulated Other Comprehensive Loss Three Months Ended March 31, 2024 Location Unrealized Gain on Fair Value of Interest Rate Hedges $ 5,114 Interest expense, net of interest income |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Restricted Stock Awards | The following table summarizes information about restricted stock awards for the three months ended March 31, 2024: Restricted Stock Number of Shares Weighted Average Balance at January 1, 2024 414,623 $ 114.02 Granted 86,523 173.18 Vested (21,092) 112.02 Forfeited (6,690) 128.70 Balance at March 31, 2024 473,364 $ 124.71 |
Schedule of Performance Stock Awards | The following table summarizes information about performance stock awards for the three months ended March 31, 2024: Performance Stock Number of Shares Weighted Average Balance at January 1, 2024 181,284 $ 114.10 Granted 77,476 172.76 Vested (19,589) 104.31 Forfeited (1,275) 127.75 Balance at March 31, 2024 237,896 $ 133.94 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Reconciliation of Third Party Revenues to Direct Revenues | The following tables reconcile third-party revenues to direct revenues for the three months ended March 31, 2024 and 2023 (in thousands): Three Months Ended Three Months Ended March 31, 2024 March 31, 2023 Third-Party Revenues Intersegment Revenues (Expenses), net Direct Revenues Third-Party Revenues Intersegment Revenues (Expenses), net Direct Revenues Environmental Services $ 1,161,279 $ 11,231 $ 1,172,510 $ 1,060,982 $ 9,759 $ 1,070,741 Safety-Kleen Sustainability Solutions 215,314 (11,231) 204,083 246,298 (9,759) 236,539 Corporate Items 102 — 102 107 — 107 Total $ 1,376,695 $ — $ 1,376,695 $ 1,307,387 $ — $ 1,307,387 |
Schedule of Reconciliation to Consolidated Statements of Income to Adjusted EBITDA | The following table presents Adjusted EBITDA information used by management by reported segment (in thousands): Three Months Ended March 31, 2024 2023 Adjusted EBITDA: Environmental Services $ 264,475 $ 228,345 Safety-Kleen Sustainability Solutions 29,700 41,463 Corporate Items (64,080) (54,670) Total 230,095 215,138 Reconciliation to Consolidated Statements of Operations: Accretion of environmental liabilities 3,217 3,407 Stock-based compensation 6,338 6,018 Depreciation and amortization 95,065 84,758 Income from operations 125,475 120,955 Other expense (income), net 1,141 (116) Loss on early extinguishment of debt — 2,362 Interest expense, net of interest income 28,539 20,632 Income before provision for income taxes $ 95,795 $ 98,077 |
REVENUES - Additional Informati
REVENUES - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2024 source | |
Disaggregation of Revenue [Line Items] | |
Deferred contract cost, recognition period | 3 months |
Environmental Services | |
Disaggregation of Revenue [Line Items] | |
Number of revenue sources | 4 |
Safety-Kleen Sustainability Solutions | |
Disaggregation of Revenue [Line Items] | |
Number of revenue sources | 2 |
REVENUES - Disaggregation of Re
REVENUES - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Total revenues | $ 1,376,695 | $ 1,307,387 |
Technical Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 407,491 | 366,509 |
Industrial Services and Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 359,499 | 336,486 |
Field and Emergency Response Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 163,469 | 148,086 |
Safety-Kleen Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 283,943 | 259,567 |
Safety-Kleen Oil | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 162,293 | 196,739 |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 1,247,472 | 1,180,462 |
Canada | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 129,223 | 126,925 |
Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 1,172,510 | 1,070,741 |
Safety-Kleen Sustainability Solutions | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 204,083 | 236,539 |
Operating Segments | Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 1,161,279 | 1,060,982 |
Operating Segments | Environmental Services | Technical Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 407,491 | 366,509 |
Operating Segments | Environmental Services | Industrial Services and Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 359,397 | 336,379 |
Operating Segments | Environmental Services | Field and Emergency Response Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 163,469 | 148,086 |
Operating Segments | Environmental Services | Safety-Kleen Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 230,922 | 210,008 |
Operating Segments | Environmental Services | Safety-Kleen Oil | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Operating Segments | Environmental Services | United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 1,053,458 | 958,584 |
Operating Segments | Environmental Services | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 107,821 | 102,398 |
Operating Segments | Safety-Kleen Sustainability Solutions | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 215,314 | 246,298 |
Operating Segments | Safety-Kleen Sustainability Solutions | Technical Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Operating Segments | Safety-Kleen Sustainability Solutions | Industrial Services and Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Operating Segments | Safety-Kleen Sustainability Solutions | Field and Emergency Response Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Operating Segments | Safety-Kleen Sustainability Solutions | Safety-Kleen Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 53,021 | 49,559 |
Operating Segments | Safety-Kleen Sustainability Solutions | Safety-Kleen Oil | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 162,293 | 196,739 |
Operating Segments | Safety-Kleen Sustainability Solutions | United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 193,912 | 221,771 |
Operating Segments | Safety-Kleen Sustainability Solutions | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 21,402 | 24,527 |
Corporate | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 102 | 107 |
Corporate | Technical Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Corporate | Industrial Services and Other | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 102 | 107 |
Corporate | Field and Emergency Response Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Corporate | Safety-Kleen Environmental Services | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Corporate | Safety-Kleen Oil | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 0 | 0 |
Corporate | United States | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | 102 | 107 |
Corporate | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Total revenues | $ 0 | $ 0 |
REVENUES - Contract Balances (D
REVENUES - Contract Balances (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Revenue from Contract with Customer [Abstract] | ||
Receivables | $ 1,039,763 | $ 983,111 |
Contract assets (unbilled receivables) | 165,592 | 107,859 |
Contract liabilities (deferred revenue) | $ 106,425 | $ 95,230 |
BUSINESS COMBINATIONS - Additio
BUSINESS COMBINATIONS - Additional Information (Details) - USD ($) $ in Thousands | Mar. 22, 2024 | Mar. 01, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Dec. 31, 2023 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 1,487,821 | $ 1,287,736 | |||
HEPACO | |||||
Business Acquisition [Line Items] | |||||
Purchase price to acquire business | $ 395,400 | ||||
Goodwill | $ 195,265 | ||||
Weighted average useful life of acquired intangible assets | 19 years | ||||
HEPACO | Minimum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 10 years | ||||
HEPACO | Maximum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 20 years | ||||
March 01, 2024 Acquisition | |||||
Business Acquisition [Line Items] | |||||
Purchase price to acquire business | $ 68,900 | ||||
Goodwill | $ 5,744 | ||||
Weighted average useful life of acquired intangible assets | 13 years | ||||
March 01, 2024 Acquisition | Minimum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 7 years | ||||
March 01, 2024 Acquisition | Maximum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 15 years | ||||
Thompson Industrial | |||||
Business Acquisition [Line Items] | |||||
Purchase price to acquire business | $ 110,900 | ||||
Goodwill | $ 39,564 | $ 39,346 | |||
Weighted average useful life of acquired intangible assets | 13 years | ||||
Thompson Industrial | Minimum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 5 years | ||||
Thompson Industrial | Maximum | |||||
Business Acquisition [Line Items] | |||||
Intangible asset, estimated useful life | 15 years |
BUSINESS COMBINATIONS - Assets
BUSINESS COMBINATIONS - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 22, 2024 | Mar. 01, 2024 | Dec. 31, 2023 | |
Business Acquisition [Line Items] | ||||
Goodwill | $ 1,487,821 | $ 1,287,736 | ||
Measurement Period Adjustments, Goodwill | 218 | |||
HEPACO | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable, including unbilled receivables | $ 68,496 | |||
Inventories and supplies | 1,574 | |||
Prepaid expenses and other current assets | 5,221 | |||
Property, plant and equipment | 45,453 | |||
Permits and other intangibles | 130,000 | |||
Operating lease right-of-use assets | 9,385 | |||
Other long-term assets | 2,660 | |||
Accrued expenses and other current liabilities | (43,966) | |||
Current portion of operating lease liabilities | (2,758) | |||
Operating lease liabilities, less current portion | (6,627) | |||
Deferred tax liabilities | (8,916) | |||
Other long-term liabilities | (374) | |||
Total identifiable net assets | 200,148 | |||
Goodwill | 195,265 | |||
Total purchase price | $ 395,413 | |||
March 01, 2024 Acquisition | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable, including unbilled receivables | $ 5,693 | |||
Inventories and supplies | 6,817 | |||
Prepaid expenses and other current assets | 423 | |||
Property, plant and equipment | 38,914 | |||
Permits and other intangibles | 20,200 | |||
Operating lease right-of-use assets | 3,615 | |||
Other long-term assets | 92 | |||
Accrued expenses and other current liabilities | (8,990) | |||
Current portion of operating lease liabilities | (1,823) | |||
Operating lease liabilities, less current portion | (1,792) | |||
Total identifiable net assets | 63,149 | |||
Goodwill | 5,744 | |||
Total purchase price | $ 68,893 | |||
Thompson Industrial | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable, including unbilled receivables | 25,160 | 25,233 | ||
Inventories and supplies | 228 | 228 | ||
Prepaid expenses and other current assets | 1,302 | 1,302 | ||
Property, plant and equipment | 26,719 | 26,719 | ||
Permits and other intangibles | 28,900 | 28,900 | ||
Operating lease right-of-use assets | 4,716 | 4,716 | ||
Other long-term assets | 72 | 72 | ||
Accrued expenses and other current liabilities | (10,530) | (10,385) | ||
Current portion of operating lease liabilities | (1,653) | (1,653) | ||
Operating lease liabilities, less current portion | (3,063) | (3,063) | ||
Other long-term liabilities | (560) | (560) | ||
Total identifiable net assets | 71,291 | 71,509 | ||
Goodwill | 39,564 | 39,346 | ||
Total purchase price | 110,855 | $ 110,855 | ||
Measurement Period Adjustments, Accounts receivable, including Unbilled receivables | (73) | |||
Measurement Period Adjustments, Accrued expenses and other current liabilities | (145) | |||
Measurement Period Adjustments, Total identifiable net assets | (218) | |||
Measurement Period Adjustments, Goodwill | 218 | |||
Measurement Period Adjustments, Total purchase price | $ 0 |
INVENTORIES AND SUPPLIES (Detai
INVENTORIES AND SUPPLIES (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Inventory [Line Items] | ||
Total inventories and supplies | $ 354,310 | $ 327,511 |
Supplies | ||
Inventory [Line Items] | ||
Total inventories and supplies | 194,411 | 177,217 |
Oil and oil related products | ||
Inventory [Line Items] | ||
Total inventories and supplies | 128,922 | 118,600 |
Solvent and solutions | ||
Inventory [Line Items] | ||
Total inventories and supplies | 11,618 | 11,795 |
Other | ||
Inventory [Line Items] | ||
Total inventories and supplies | $ 19,359 | $ 19,899 |
PROPERTY, PLANT AND EQUIPMENT -
PROPERTY, PLANT AND EQUIPMENT - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 5,104,675 | $ 4,964,301 |
Less - accumulated depreciation and amortization | 2,774,191 | 2,770,983 |
Total property, plant and equipment, net | 2,330,484 | 2,193,318 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 184,242 | 174,891 |
Asset retirement costs (non-landfill) | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 27,155 | 27,167 |
Landfill assets | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 252,816 | 253,180 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 639,514 | 630,525 |
Right-of-Use assets, finance leases | 8,000 | 8,000 |
Vehicles | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 1,345,995 | 1,276,567 |
Right-of-Use assets, finance leases | 175,000 | 151,700 |
Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 2,391,075 | 2,388,370 |
Right-of-Use assets, finance leases | 9,200 | 9,200 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 263,878 | $ 213,601 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense, inclusive of landfill and finance lease amortization | $ 82.2 | $ 72 |
Interest costs capitalized | $ 2.5 | $ 1.2 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS - Changes to Goodwill (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 1,287,736 |
Increase from current period acquisitions | 201,009 |
Measurement period adjustments from prior period acquisitions | 218 |
Foreign currency translation | (1,142) |
Goodwill, ending balance | 1,487,821 |
Environmental Services | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 1,112,013 |
Increase from current period acquisitions | 195,265 |
Measurement period adjustments from prior period acquisitions | 218 |
Foreign currency translation | (815) |
Goodwill, ending balance | 1,306,681 |
Safety-Kleen Sustainability Solutions | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 175,723 |
Increase from current period acquisitions | 5,744 |
Measurement period adjustments from prior period acquisitions | 0 |
Foreign currency translation | (327) |
Goodwill, ending balance | $ 181,140 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS - Finite-lived and Indefinite Lived Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of Finite-lived and Indefinite-lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, cost | $ 1,043,141 | $ 896,809 |
Accumulated Amortization | 423,236 | 414,297 |
Finite-lived intangible assets, net | 619,905 | 482,512 |
Total permits and other intangible assets, cost | 1,163,211 | 1,017,094 |
Total permits and other intangible assets, net | 739,975 | 602,797 |
Trademarks and trade names | ||
Schedule of Finite-lived and Indefinite-lived Intangible Assets [Line Items] | ||
Trademarks and trade names | 120,070 | 120,285 |
Permits | ||
Schedule of Finite-lived and Indefinite-lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, cost | 191,130 | 191,747 |
Accumulated Amortization | 119,219 | 117,556 |
Finite-lived intangible assets, net | 71,911 | 74,191 |
Customer and supplier relationships | ||
Schedule of Finite-lived and Indefinite-lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, cost | 739,675 | 604,994 |
Accumulated Amortization | 262,894 | 258,879 |
Finite-lived intangible assets, net | 476,781 | 346,115 |
Other intangible assets | ||
Schedule of Finite-lived and Indefinite-lived Intangible Assets [Line Items] | ||
Finite-lived intangible assets, cost | 112,336 | 100,068 |
Accumulated Amortization | 41,123 | 37,862 |
Finite-lived intangible assets, net | $ 71,213 | $ 62,206 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization of permits and other intangible assets | $ 12.9 | $ 12.7 |
GOODWILL AND OTHER INTANGIBLE_6
GOODWILL AND OTHER INTANGIBLE ASSETS - Expected Future Amortization (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2024 (nine months) | $ 37,463 | |
2025 | 47,957 | |
2026 | 45,383 | |
2027 | 43,304 | |
2028 | 42,044 | |
Thereafter | 403,754 | |
Finite-lived intangible assets, net | $ 619,905 | $ 482,512 |
ACCRUED EXPENSES AND OTHER CU_3
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Payables and Accruals [Abstract] | ||
Accrued insurance | $ 104,566 | $ 107,658 |
Accrued compensation and benefits | 72,253 | 113,236 |
Accrued income, real estate, sales and other taxes | 63,276 | 44,752 |
Accrued interest | 15,494 | 33,857 |
Accrued other | 93,846 | 97,654 |
Total accrued expenses | $ 349,435 | $ 397,157 |
CLOSURE AND POST-CLOSURE LIAB_3
CLOSURE AND POST-CLOSURE LIABILITIES - Changes in Post-Closure Liabilities (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Changes to post-closure liabilities | |
Beginning balance | $ 118,600 |
New asset retirement obligations | 556 |
Accretion | 2,292 |
Changes in estimates recorded to consolidated statement of operations | 58 |
Changes in estimates recorded to consolidated balance sheet | 51 |
Expenditures | (1,791) |
Currency translation and other | (194) |
Ending balance | 119,572 |
Landfill Retirement Liability | |
Changes to post-closure liabilities | |
Beginning balance | 59,443 |
New asset retirement obligations | 556 |
Accretion | 1,221 |
Changes in estimates recorded to consolidated statement of operations | 0 |
Changes in estimates recorded to consolidated balance sheet | 0 |
Expenditures | (608) |
Currency translation and other | (109) |
Ending balance | 60,503 |
Non-Landfill Retirement Liability | |
Changes to post-closure liabilities | |
Beginning balance | 59,157 |
New asset retirement obligations | 0 |
Accretion | 1,071 |
Changes in estimates recorded to consolidated statement of operations | 58 |
Changes in estimates recorded to consolidated balance sheet | 51 |
Expenditures | (1,183) |
Currency translation and other | (85) |
Ending balance | $ 59,069 |
REMEDIAL LIABILITIES - Changes
REMEDIAL LIABILITIES - Changes to Remedial Liabilities (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |
Beginning balance | $ 111,243 |
Accretion | 925 |
Changes in estimates recorded to consolidated statement of operations | 859 |
Expenditures | (2,938) |
Currency translation and other | (303) |
Ending balance | 109,786 |
Remedial Liabilities for Landfill Sites | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |
Beginning balance | 1,880 |
Accretion | 22 |
Changes in estimates recorded to consolidated statement of operations | 5 |
Expenditures | (13) |
Currency translation and other | 0 |
Ending balance | 1,894 |
Remedial Liabilities for Inactive Sites | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |
Beginning balance | 60,277 |
Accretion | 521 |
Changes in estimates recorded to consolidated statement of operations | 75 |
Expenditures | (831) |
Currency translation and other | (13) |
Ending balance | 60,029 |
Remedial Liabilities (Including Superfund) for Non-Landfill Operations | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |
Beginning balance | 49,086 |
Accretion | 382 |
Changes in estimates recorded to consolidated statement of operations | 779 |
Expenditures | (2,094) |
Currency translation and other | (290) |
Ending balance | $ 47,863 |
FINANCING ARRANGEMENTS - Summar
FINANCING ARRANGEMENTS - Summary of Financing Arrangements (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Current portion of long-term debt | $ 15,102 | $ 10,000 |
Long-term debt, at par | 2,806,122 | 2,315,000 |
Unamortized debt issuance costs and discount | (27,498) | (23,283) |
Long-term debt, at carrying value | 2,778,624 | 2,291,717 |
Secured debt | Secured senior term loans due October 8, 2028 | ||
Debt Instrument [Line Items] | ||
Current portion of long-term debt | 15,102 | 10,000 |
Long-term debt, at par | 1,461,122 | 970,000 |
Unsecured debt | Unsecured senior notes, at 4.875%, due July 15, 2027 (“2027 Notes”) | ||
Debt Instrument [Line Items] | ||
Long-term debt, at par | $ 545,000 | 545,000 |
Interest rate (as a percentage) | 4.875% | |
Unsecured debt | Unsecured senior notes, at 5.125%, due July 15, 2029 (“2029 Notes”) | ||
Debt Instrument [Line Items] | ||
Long-term debt, at par | $ 300,000 | 300,000 |
Interest rate (as a percentage) | 5.125% | |
Unsecured debt | Unsecured senior notes, at 6.375%, due February 1, 2031 (“2031 Notes”) | ||
Debt Instrument [Line Items] | ||
Long-term debt, at par | $ 500,000 | $ 500,000 |
Interest rate (as a percentage) | 6.375% |
FINANCING ARRANGEMENTS - Additi
FINANCING ARRANGEMENTS - Additional Information (Details) - USD ($) | 6 Months Ended | 9 Months Ended | ||
Mar. 22, 2024 | Jun. 30, 2023 | Mar. 31, 2024 | Dec. 31, 2023 | |
Debt Instrument [Line Items] | ||||
Debt fair value | $ 2,800,000,000 | $ 2,300,000,000 | ||
2022 Swaps | ||||
Debt Instrument [Line Items] | ||||
Notional amount of interest rate swap agreements | 600,000,000 | |||
Derivative asset | $ 42,200,000 | 35,500,000 | ||
Secured debt | 2024 Incremental Term Loans | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, face amount | $ 500,000,000 | |||
Proceeds from issuance of debt | 494,700,000 | |||
Secured debt | Existing Term Loans | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | $ 980,000,000 | |||
Effective interest rate (as a percent) | 3.83% | |||
Secured debt | Existing Term Loans | 2022 Swaps | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, face amount | $ 600,000,000 | |||
Effective interest rate (as a percent) | 2.931% | |||
Secured debt | Existing Term Loans | 2022 Swaps | From July 1, 2023 through September 30, 2027 | ||||
Debt Instrument [Line Items] | ||||
Derivative, fixed interest rate | 1.9645% | |||
Secured debt | Existing Term Loans | 2022 Swaps | Through June 30, 2023 | ||||
Debt Instrument [Line Items] | ||||
Derivative, fixed interest rate | 0.931% | |||
Secured debt | Existing Term Loans | SOFR | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as a percent) | 0.11448% | |||
Debt, interest margin | 2% | 1.75% | ||
Secured debt | Secured senior term loans due October 8, 2028 | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, prepayment premium percentage | 1% | |||
Secured debt | Secured senior term loans due October 8, 2028 | SOFR | ||||
Debt Instrument [Line Items] | ||||
Debt, interest margin | 1.75% | |||
Debt, floor interest rate | 0% | |||
Secured debt | Secured senior term loans due October 8, 2028 | SOFR | Minimum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as a percent) | 0.11448% | |||
Secured debt | Secured senior term loans due October 8, 2028 | SOFR | Maximum | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as a percent) | 0.42826% | |||
Secured debt | Secured senior term loans due October 8, 2028 | Base Rate | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate (as a percent) | 0.75% | |||
Debt, floor interest rate | 1% | |||
Secured debt | 2028 Term Loans, Variable Rate | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | $ 876,200,000 | |||
Effective interest rate (as a percent) | 7.19% | |||
Line of Credit | Revolving credit facility | ||||
Debt Instrument [Line Items] | ||||
Debt outstanding | $ 0 | $ 0 | ||
Revolving credit facility maximum borrowing capacity | 400,000,000 | |||
Available to borrow and outstanding letters of credit | 268,000,000 | |||
Outstanding letters of credit | $ 132,000,000 |
EARNINGS PER SHARE - Reconcilia
EARNINGS PER SHARE - Reconciliation of Basic and Diluted Earnings Per Share Computations (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Numerator for basic and diluted earnings per share: | ||
Net income, basic | $ 69,832 | $ 72,401 |
Net income, diluted | $ 69,832 | $ 72,401 |
Denominator: | ||
Weighted-average basic shares outstanding (in shares) | 53,930 | 54,076 |
Dilutive effect of outstanding stock awards (in shares) | 283 | 328 |
Dilutive shares outstanding (in shares) | 54,213 | 54,404 |
Basic earnings per share (in dollars per share) | $ 1.29 | $ 1.34 |
Diluted earnings per share (in dollars per share) | $ 1.29 | $ 1.33 |
EARNINGS PER SHARE - Antidiluti
EARNINGS PER SHARE - Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Number of performance stock awards that performance criteria not attained (in shares) | 160 | 116 |
Restricted stock awards | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive shares excluded from computation of earning per share (in shares) | 3 | 2 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE LOSS - Changes in Accumulated Other Comprehensive Loss by Component (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | $ 2,247,506 | $ 1,922,322 |
Other comprehensive (loss) income before reclassifications | 2,627 | |
Amounts reclassified out of accumulated other comprehensive loss | (5,114) | |
Tax benefit (provision) | (1,800) | |
Other comprehensive loss, net of tax | (4,287) | (14,346) |
Balance ending of period | 2,311,337 | 1,980,044 |
Foreign Currency Translation Adjustments | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | (200,339) | |
Other comprehensive (loss) income before reclassifications | (9,150) | |
Amounts reclassified out of accumulated other comprehensive loss | 0 | |
Tax benefit (provision) | 0 | |
Other comprehensive loss, net of tax | (9,150) | |
Balance ending of period | (209,489) | |
Unrealized Loss on Available-For-Sale Securities | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | (4) | |
Other comprehensive (loss) income before reclassifications | (106) | |
Amounts reclassified out of accumulated other comprehensive loss | 0 | |
Tax benefit (provision) | 22 | |
Other comprehensive loss, net of tax | (84) | |
Balance ending of period | (88) | |
Unrealized Gain on Fair Value of Interest Rate Hedges | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | 25,891 | |
Other comprehensive (loss) income before reclassifications | 11,864 | |
Amounts reclassified out of accumulated other comprehensive loss | (5,114) | |
Tax benefit (provision) | (1,822) | |
Other comprehensive loss, net of tax | 4,928 | |
Balance ending of period | 30,819 | |
Unrealized Loss on Pension | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | (887) | |
Other comprehensive (loss) income before reclassifications | 19 | |
Amounts reclassified out of accumulated other comprehensive loss | 0 | |
Tax benefit (provision) | 0 | |
Other comprehensive loss, net of tax | 19 | |
Balance ending of period | (868) | |
Total | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Balance beginning of period | (175,339) | (167,181) |
Other comprehensive loss, net of tax | (4,287) | (14,346) |
Balance ending of period | $ (179,626) | $ (181,527) |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE LOSS - Reclassified Out of Accumulated Other Comprehensive Loss (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Interest Rate Swap | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |
Unrealized Gain on Fair Value of Interest Rate Hedges | $ 5,114 |
STOCK-BASED COMPENSATION - Addi
STOCK-BASED COMPENSATION - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | ||
Stock-based compensation | $ 6.3 | $ 6 |
Income tax benefit | $ 1.2 | $ 1 |
STOCK-BASED COMPENSATION - Rest
STOCK-BASED COMPENSATION - Restricted Stock Awards (Details) - Restricted stock awards - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Number of Shares | ||
Beginning balance (in shares) | 414,623 | |
Granted (in shares) | 86,523 | |
Vested (in shares) | (21,092) | |
Forfeited (in shares) | (6,690) | |
Ending balance (in shares) | 473,364 | |
Weighted Average Grant-Date Fair Value | ||
Beginning of period (in dollars per share) | $ 114.02 | |
Granted (in dollars per share) | 173.18 | |
Vested (in dollars per share) | 112.02 | |
Forfeited (in dollars per share) | 128.70 | |
End of period (in dollars per share) | $ 124.71 | |
Unrecognized compensation cost | $ 43.9 | |
Period for recognition (in years) | 3 years 3 months 18 days | |
Fair value of share-based payment awards | $ 3.7 | $ 2.1 |
STOCK-BASED COMPENSATION - Perf
STOCK-BASED COMPENSATION - Performance Stock Awards (Details) - Performance stock awards - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Number of Shares | ||
Beginning balance (in shares) | 181,284 | |
Granted (in shares) | 77,476 | |
Vested (in shares) | (19,589) | |
Forfeited (in shares) | (1,275) | |
Ending balance (in shares) | 237,896 | |
Weighted Average Grant-Date Fair Value | ||
Beginning of period (in dollars per share) | $ 114.10 | |
Granted (in dollars per share) | 172.76 | |
Vested (in dollars per share) | 104.31 | |
Forfeited (in dollars per share) | 127.75 | |
End of period (in dollars per share) | $ 133.94 | |
Unrecognized compensation cost | $ 7.4 | |
Fair value of share-based payment awards | $ 3.7 | $ 7.8 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 USD ($) proceeding site claim | Dec. 31, 2023 USD ($) | |
Loss Contingencies [Line Items] | ||
Recorded reserves for actual or probable liabilities | $ | $ 28.5 | $ 32.4 |
Product Liability Cases | ||
Loss Contingencies [Line Items] | ||
Number of proceedings as defendant | proceeding | 70 | |
Number of product liability claims settled or dismissed | claim | 4 | |
Legal and Administrative Proceedings | ||
Loss Contingencies [Line Items] | ||
Recorded reserves for actual or probable liabilities | $ | $ 23.6 | 25 |
Federal, State, and Provincial Enforcement Actions | ||
Loss Contingencies [Line Items] | ||
Recorded reserves for actual or probable liabilities | $ | $ 4.9 | $ 7.4 |
Number of proceedings as defendant | proceeding | 0 | |
Superfund Proceedings | ||
Loss Contingencies [Line Items] | ||
Number of sites subject to proceedings under federal or state superfund laws | 131 | |
Number of sites owned by the entity subject to proceedings under federal or state superfund laws | 6 | |
Number of sites owned by third parties subject to proceedings under federal or state superfund laws | 125 | |
Number of sites for which environmental remediation expense is settled | 30 | |
Third party sites requiring expenditure on remediation | 13 | |
Number of sites for which environmental remediation expense is not required | 82 | |
Number of sites, potential liability exceeds substantial quota | 3 | |
Safety-Kleen Sustainability Solutions | ||
Loss Contingencies [Line Items] | ||
Notices received from owners of third party sites seeking indemnification from the company | 17 |
SEGMENT REPORTING - Narrative (
SEGMENT REPORTING - Narrative (Details) | 3 Months Ended |
Mar. 31, 2024 segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
SEGMENT REPORTING - Reconciliat
SEGMENT REPORTING - Reconciliation of Third Party Revenues to Direct Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Total revenues | $ 1,376,695 | $ 1,307,387 |
Environmental Services | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 1,172,510 | 1,070,741 |
Safety-Kleen Sustainability Solutions | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 204,083 | 236,539 |
Operating Segments | Environmental Services | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 1,161,279 | 1,060,982 |
Operating Segments | Safety-Kleen Sustainability Solutions | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 215,314 | 246,298 |
Intersegment Revenues (Expenses), net | Environmental Services | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 11,231 | 9,759 |
Intersegment Revenues (Expenses), net | Safety-Kleen Sustainability Solutions | ||
Segment Reporting Information [Line Items] | ||
Total revenues | (11,231) | (9,759) |
Corporate | ||
Segment Reporting Information [Line Items] | ||
Total revenues | $ 102 | $ 107 |
SEGMENT REPORTING - Reconcili_2
SEGMENT REPORTING - Reconciliation to Consolidated Statements of Income to Adjusted EBITDA (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Adjusted EBITDA | $ 230,095 | $ 215,138 |
Reconciliation to Consolidated Statements of Operations: | ||
Accretion of environmental liabilities | 3,217 | 3,407 |
Stock-based compensation | 6,338 | 6,018 |
Depreciation and amortization | 95,065 | 84,758 |
Income from operations | 125,475 | 120,955 |
Other expense (income), net | 1,141 | (116) |
Loss on early extinguishment of debt | 0 | 2,362 |
Interest expense, net of interest income | 28,539 | 20,632 |
Income before provision for income taxes | 95,795 | 98,077 |
Operating Segments | Environmental Services | ||
Segment Reporting Information [Line Items] | ||
Adjusted EBITDA | 264,475 | 228,345 |
Operating Segments | Safety-Kleen Sustainability Solutions | ||
Segment Reporting Information [Line Items] | ||
Adjusted EBITDA | 29,700 | 41,463 |
Corporate | ||
Segment Reporting Information [Line Items] | ||
Adjusted EBITDA | $ (64,080) | $ (54,670) |