Republic Services (RSG) Q4 FY2022 earnings: revenue $3.5 billion, up 19.6% on the year

Republic Services, Inc. (RSG) reported revenue of $3.5 billion for Q4 FY2022, the quarter ended 31 December 2022, up 19.6% on the same quarter a year earlier. Net income was $347 million, up 10.8% on the year, and diluted earnings per share $1.09. The figures are the company's own, from the 10-K it filed with the SEC on 23 February 2023.

Revenue$3.5 billionup 19.6%

Net income$347 millionup 10.8%

Diluted EPS$1.09

QuarterQ4 FY2022ended 31 December 2022

The quarter, against the one before and a year earlier

Line	Q4 FY2022	Q3 FY2022	Q4 FY2021	Change on the year
Revenue	3,531	3,598	2,952	+19.6%
Cost of revenue	2,186	2,192	1,809	+20.9%
Gross profit	1,345	1,405	1,143	+17.7%
Gross margin	38.1%	39.1%	38.7%
Selling, general and administrative	392	361	316	+24.3%
Operating income	577	664	502	+15.0%
Operating margin	16.3%	18.5%	17.0%
Interest expense	113	105	79.7	+41.7%
Pre-tax income	373	508	277	+34.9%
Income tax	26.4	90.9	-36.2	n/a
Effective tax rate	7.1%	17.9%	-13.1%
Net income	347	417	313	+10.8%
Net margin	9.8%	11.6%	10.6%
Diluted EPS	$1.09	$1.32	$0.98	+11.2%

$ million except per share.

Fourth quarters are the year less the first three quarters. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed.

Cash flow and capital returned

Line	Q4 FY2022	Q3 FY2022	Q4 FY2021	Change on the year
Operating cash flow	807	820	649	+24.3%
Capital expenditure	433	374	412	+5.0%
Free cash flow	374	446	237	+57.9%
Free cash flow margin	10.6%	12.4%	8.0%
Cash from investing	-722	-417	-680	n/a
Cash from financing	-18.6	-436	14.3	n/a
Depreciation and amortisation	350	354	299	+16.9%
Share-based compensation	8.0	9.6	7.9	+1.3%
Buybacks	0.0	0.0	73.2	n/a
Dividends paid	156	145	146	+7.0%
Dividend per share	$0.49	$0.49	n/a	n/a
Diluted shares, weighted	317m	317m	319m	-0.7%
Shares outstanding at period end	316m	316m	316m	-0.1%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet at quarter end

Line	Q4 FY2022	Q3 FY2022	Q4 FY2021	Change on the year
Shareholders' equity	9,686	9,490	8,979	+7.9%
Non-controlling interest	0.8	0.6	0.8	+0.0%
Debt	11,902	11,636	9,678	+23.0%
Operating lease liabilities	238	248	239	-0.4%
Finance lease liabilities	233	n/a	241	-3.3%
Other liabilities	6,993	7,026	5,817	+20.2%
Total liabilities and equity	29,053	28,401	24,955	+16.4%
Goodwill	14,452	14,194	12,826	+12.7%
Intangible assets	347	399	260	+33.8%
Cash and equivalents	143	81.4	29.0	+394.5%
Receivables	1,677	1,699	1,271	+31.9%
Inventory	96.6	101	72.2	+33.8%
Other assets	12,337	11,926	10,497	+17.5%
Total assets	29,053	28,401	24,955	+16.4%

Questions

What was Republic Services' revenue in Q4 FY2022?

Republic Services (RSG) reported revenue of $3.5 billion for Q4 FY2022, the quarter ended 31 December 2022, up 19.6% on the same quarter a year earlier.

How much did Republic Services earn in Q4 FY2022?

Net income for Q4 FY2022 was $347 million, up 10.8% on the year, and diluted earnings per share $1.09.

When did Republic Services report Q4 FY2022 results?

Republic Services filed its 10-K for the year that ended with the quarter on 23 February 2023; the fourth quarter is the year less the first three.

Quarterly results, the last 20 quarters

	Q3 FY2021	Q4 FY2021 *	Q1 FY2022	Q2 FY2022 †	Q3 FY2022 †	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024 †	Q2 FY2024 †	Q3 FY2024 †	Q4 FY2024 *	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026
Revenue	2,934	2,952	2,969	3,414	3,598	3,531	3,581	3,726	3,826	3,832	3,862	4,048	4,076	4,046	4,009	4,235	4,212	4,135	4,113	4,430
Cost of revenue	1,744	1,809	1,762	2,064	2,192	2,186	2,170	2,224	2,284	2,264	2,283	2,383	2,367	2,317	2,314	2,449	2,463	2,404	2,366	2,563
Gross profit	1,190	1,143	1,206	1,349	1,405	1,345	1,412	1,502	1,542	1,568	1,578	1,665	1,709	1,729	1,695	1,786	1,749	1,731	1,747	1,867
Gross margin	41%	39%	41%	40%	39%	38%	39%	40%	40%	41%	41%	41%	42%	43%	42%	42%	42%	42%	42%	42%
SG&A	299	316	308	390	361	392	379	396	402	431	414	408	406	446	427	425	422	436	425	444
Operating income	564	502	561	590	664	577	644	707	728	701	733	814	846	804	804	861	836	801	830	901
Operating margin	19%	17%	19%	17%	18%	16%	18%	19%	19%	18%	19%	20%	21%	20%	20%	20%	20%	19%	20%	20%
Interest expense	78.1	79.7	83.5	94.0	105	113	127	124	128	130	139	128	138	133	140	145	143	146	151	151
Pre-tax income	471	277	472	478	508	373	522	580	606	483	599	654	646	533	665	720	645	564	656	699
Tax rate	25%	-13%	25%	22%	18%	7%	26%	26%	21%	9%	24%	22%	13%	4%	26%	24%	15%	4%	20%	19%
Net income	350	313	352	372	417	347	384	427	480	440	454	512	566	512	495	550	550	545	525	566
Net margin	12%	11%	12%	11%	12%	10%	11%	11%	13%	11%	12%	13%	14%	13%	12%	13%	13%	13%	13%	13%
Diluted EPS	$1.10	$0.98	$1.11	$1.17	$1.32	$1.09	$1.21	$1.35	$1.52	$1.39	$1.44	$1.62	$1.80	$1.63	$1.58	$1.75	$1.76	$1.76	$1.70	$1.84
Operating cash flow	655	649	706	858	820	807	688	1,078	953	898	812	1,099	1,003	1,022	1,025	1,109	1,181	981	1,227	1,153
Capital expenditure	296	412	334	313	374	433	379	336	369	548	514	403	454	483	459	407	444	577	476	392
Free cash flow	359	237	372	545	446	374	309	743	584	351	297	696	549	539	566	702	737	404	751	761
Buybacks	139	73.2	204	0.0	0.0	0.0	0.0	0.0	190	71.4	0.0	168	153	161	55.0	4.0	540	271	292	367
Dividends paid	135	146	146	145	145	156	156	157	156	169	168	168	168	182	181	181	182	194	193	192
Shares outstanding	317m	316m	316m	316m	316m	316m	316m	316m	315m	315m	315m	314m	313m	312m	312m	312m	310m	309m	308m	306m
Filing	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-K for the period ended 31 December 2022, filed 23 February 2023: the filing.