Republic Services, Inc. (NYSE:RSG) Q2 2020 Earnings Conference Call - Final Transcript

Aug 06, 2020 • 05:00 pm ET


Republic Services, Inc. (NYSE:RSG) Q2 2020 Earnings Conference Call - Final Transcript


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Good afternoon and welcome to the Republic Services Second Quarter 2020 Investor Conference Call. Republic Services is traded on the New York Stock Exchange under the symbol RSG. [Operator Instructions] Please note, this event is being recorded.

I would now like to turn the conference over to Nicole Giandinoto, Senior Vice President of Business Transformation and Communications. Nicole?

Nicole Giandinoto

Hi. I would like to welcome everyone to Republic Services' Second Quarter 2020 Conference Call. Don Slager, our CEO; Jon Vander Ark, our President; and Brian DelGhiaccio, our CFO, are joining me as we discuss our performance.

I would like to take a moment to remind everyone that some of the information we discuss on today's call contains forward-looking statements, which involve risks and uncertainties and may be materially different from actual results. Our SEC filings discuss factors that could cause actual results to differ materially from expectations. The material that we discuss today is time-sensitive. If in the future you listen to a rebroadcast or recording of this conference call, you should be sensitive to the date of the original call, which is August 6, 2020.

Please note that this call is the property of Republic Services, Inc. Any redistribution, retransmission or rebroadcast of this call in any form without the express written consent of Republic Services is strictly prohibited. I want to point out that our SEC filings, our earnings press release, which includes GAAP reconciliation tables and a discussion of business activities, along with the recording of this call are all available on Republic's website at

I want to remind you that Republic's management team routinely participates in investor conferences. When events are scheduled, the dates, times and presentations are posted on our website.

With that, I would like to turn the call over to Don.

Donald W. Slager

Thanks, Nicole. Good afternoon, everyone, and thank you for joining us. We are extremely pleased with our second quarter results, which clearly demonstrate the resiliency of our business, the power of our operating model and the strength of our cash flow.

We delivered strong results in the second quarter by leveraging the solid foundation we built over the last decade. During the quarter, we increased adjusted earnings per share, delivered double-digit growth in adjusted free cash flow and expanded adjusted EBITDA margin 170 basis points to 29.6%. I'm proud of the results the team delivered and truly inspired by their dedication to the Republic way.

Our leaders are working tirelessly to keep our people safe, adjust our operations to changing demand and ensure consistent, reliable service to our customers. Our frontline employees continue to show up every day for our customers and each other, and our support personnel quickly adjusted to a new way of working. It was the collective effort of all 36,000 employees that delivered these results.

Our economic outlook is positive. Since April, total volume has increased month-over-month through July. In our small container business, we are seeing a similar volume trend. Additionally, container weights increased sequentially through July, indicating