A fixed rule set over this filing's XBRL figures and the number of high-severity risks found in it — no model judgement.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
In 2026-Q2, WM generated $6,684M in revenue (up 4.0% YoY) and $785M in net income ($1.95 diluted EPS), propelled by Collection and Disposal pricing yield and Stericycle synergy realization despite recycled commodity price declines.
Filed · Source: SEC EDGAR 10-Q filing
WM delivered solid 2026-Q2 financial results as revenue rose 4.0% YoY to $6,684M and free cash flow surged to $1,104M.
Last 4 quarters: 1 beat, 3 misses
Reported EPS of $2.02 versus the $2.04 analyst consensus — a -1.0% miss for Jun 2026.
Operating revenues for 2026-Q2 reached $6,684M, an increase of $254M or 4.0% YoY. Growth was driven by a $181M increase in Collection and Disposal pricing yield and $102M in higher energy surcharge revenues due to a ~50% increase in market diesel fuel prices.
Source: 10-Q Item 2, p.28-31
Income from operations increased by $102M YoY to $1,253M (18.7% of revenues). The margin expansion was aided by a reduction in SG&A expenses to 10.2% of revenues (down from 10.8%), benefiting from realized synergies following the Stericycle integration within Healthcare Solutions.
Source: 10-Q Item 2, p.28
Net cash provided by operating activities rose to $1,726M and Free Cash Flow expanded by $286M YoY to $1,104M. Cash flow growth was driven by higher core earnings and lower capital spending as sustainability growth projects transitioned from peak construction into harvesting returns.
Source: 10-Q Item 2, p.28
Single-stream recycled commodity prices declined ~10% YoY in 2026-Q2, reducing recycling yield revenues by $2M, while lower renewable natural gas (RNG) pricing reduced Renewable Energy yield by $4M, though operational volume gains helped mitigate the financial impact.
Source: 10-Q Item 2, p.27, 32
Fluctuations in market prices for single-stream recycled commodities and renewable natural gas (RNG) create margin volatility and earnings pressure in the Recycling Processing and Sales and Renewable Energy segments.
Source: 10-Q Item 2, p.27
Failure to seamlessly integrate acquired operations, such as Stericycle within Healthcare Solutions, or inability to deliver expected operating efficiencies and cost synergies could hamper long-term margin goals.
Source: 10-Q Item 2, p.25
Operating expenses remain vulnerable to wage inflation, medical cost increases, and sharp spikes in diesel fuel prices, which could compress margins if pricing adjustments or fuel surcharges lag cost increases.
Source: 10-Q Item 2, p.25, 27
This analysis does not extract a guidance section. Companies issue revenue and EPS outlook in the 8-K press release and on the earnings call rather than in the 10-Q itself — though the filing's management discussion can contain forward-looking statements, which appear in the highlights above where they were material.
See the WM earnings preview — expected date, analyst estimates and what to watch →
In 2026-Q2, WM increased revenue by 4.0% YoY to $6,684M and net income to $785M ($1.95 diluted EPS). Key growth drivers included strong collection pricing yield, higher fuel surcharges, and integration synergies from the Stericycle acquisition.
WM's revenue grew $254M YoY to $6,684M in 2026-Q2. Growth was led by $181M from Collection and Disposal rate increases and $102M in energy surcharges, which offset lower collection volume and a 10% drop in recycled commodity prices.
WM generated $1,104M in free cash flow during 2026-Q2 and allocated $1,038M of available cash to shareholders through common stock repurchases and dividend payments.
Expected release date, analyst estimates & what to watch
WM delivered a strong Q1 2026 with revenue of $6.23B (+3.5% YoY), operating income surging 9.9% to $1.11B, and net income climbing 13.5% to $723M, driven by margin expansion and robust operating cash flow of $1.50B.
WM delivered strong FY2025 revenue growth of 14.2% to $25.2B, driven largely by its acquisition of Stericycle, though net income dipped 1.4% to $2.71B as higher SG&A and D&A costs weighed on profitability.
Other companies in Environmental & Facilities Services