The following is a summary of the Stericycle, Inc. (SRCL) Q1 2024 Earnings Call Transcript:
Financial Performance:
Stericycle reported Q1 adjusted earnings per share of $0.57, up by $0.08 from Q1 2023, and adjusted EBITDA of $116.2 million, which increased by $4.9 million.
The company experienced a slight decrease in Q1 revenue at $664.9 million from $684.3 million in Q1 2023, mainly due to divestitures worth $17.7 million.
The net income was $13.1 million or $0.14 diluted earnings per share, up from $11.2 million or $0.12 in Q1 2023.
Regulated Waste and Compliance Services organic revenues showed growth for the eighth consecutive quarter, being in line with the company's internal expectations.
Despite facing some headwinds related to the commodity index revenue based on the RISI rates in Q1, there's anticipation of a slight improvement in Q2.
Globally, their service revenue rose by about 3% and about 2.9% in North America, excluding all the commodity-based revenue.
Business Progress:
Stericycle launched a new subscription-based product, Shred-it ProtectPLUS, that provides paper shredding services along with cybersecurity and privacy awareness training.
The construction work of their newest medical waste incinerator facility in McCarran, Nevada, is expected to be completed in Q2 2024, which aligns with the planned schedule.
Thanks to the progress on their routing optimization initiative, their North America fleet could be reduced by approximately 5% over the past 15 months.
Stericycle introduced a subscription-based capability with ProtectPLUS offering, aimed to provide stability and revenue flow-through in the long run.
The company saw progress with its Express and priority pickup services for Secure Information Destruction, paving the way for opportunities in sustainability and recycling.
Routing improvements led to increased efficiency and more customer engagement, expanding both its large and small quantity generator customer base in the regulated waste business.
Stericycle has been recognized by Newsweek as one of America's greatest workplaces for diversity and for women.
More details: Stericycle IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.