Greetings, and welcome to the Clean Harbors 4th Quarter 2025 Financial Results Conference Call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Michael McDonald, General Counsel for Clean Harbors. Mr. McDonald, you may begin.

Thank you, Christine, and good morning, everyone. With me on today's call are our Co-Chief Executive Officers, Eric Erstenberg and Mike Battles, our EVP and Chief Financial Officer, Eric Dugas, and our SVP of Investor Relations, Jim Buckley. Slides for today's call are posted on our Investor Relations website, and we invite you to follow along. Matters we are discussing today that are not historical facts are considered forward-looking statements within the meaning of the private securities, and it's a caution not to place undue reliance on these statements, which reflect management's opinions only as of today, February 18, 2026. Information on potential factors and risks that could affect our results is included in our SEC filings. The company undertakes no obligation to revise or publicly release the results of any revision of the statements made today other than through filings made concerning this reporting period. Today's discussion includes references to non-GAAP measures. Clean Arms believes that such information provides an additional measurement in consistent historical comparison of its performance. Reconciliations of these measures to the most directly are available in today's news release, on our Investor Relations website, and in the appendix of today's presentation. Let me turn the call over to Eric Rustenberg. Good morning, everyone.

we concluded a record year of safety in 2025 by delivering a total recordable incident rate of 0.49, which is well below the prior year in industry-leading. Safety underpins everything we do at Cleveland, the many benefits of reputation, teamwork, employee retention. Most importantly, our team home safety. To everyone on the team listening today, we appreciate all that you did this year and every day to keep yourself and your colleagues turning to a summary of the EBITDA margin increased by 40 basis points. We capped off 20 and exceeded the guidance we provide in both of our with our environmental service and adjusted EBITDA margin. This run of nearly four years of consistent margin expansion against a challenging industrial backdrop reflects a successful delivery of our essential execution of our growth strategy. EBITDA by 5 was led by our ES segment while While increasing its segment adjusted EBITDA margin by 60, our 2025 results altering 9 million operational milestones, creation of our Phoenix Hub, 2022,000 emergency response events, EPA, and the reduction of voluntary turning with ES on slide 4. We grew Q4 revenue by 6% in the strength and demand for disposal and recycling of our filtration work at the Pearl Harbor base that demonstrates the effectiveness of our carbon filtration system authorization act. to turn to Congress within 180 days with recommendations for how the military will address PFAS removal and destruction and more than 700 U.S. In addition, the EPA is expected. At the same time, state governments are moving forward and create their own rules and are evaluating take-back programs. All of these developments represent sizable growth opportunities for clean harbors. Even without new rules in place, we are seeing each element of our total PFAS solution grow grow, and our pipeline expand. The guidance that Eric will share with you only assumes a 20%

growth rate. With that, good morning everyone. Turning to SKSS on slide 6, the base oil pricing environment continued to weaken in Q4. Segment revenue was down slightly. In terms of profitability, segment adjusted EBITDA was $30 million, a 22% increase from the fourth quarter of 2024. For the full year, adjusted EBITDA for this segment was $137 million. Despite difficult macro oil conditions, the team continued to execute well on our oil collection services and related pricing, which drove the increase in year-over-year Q4 adjusted EBITDA and a 310 basis point improvement in margins. We increased our charge for oil pricing, or CFO, in Q4, raising rates roughly 50% above our Q3 average. Managing the pricing associated with these oil collection services and substantially lowering our overall waste oil collection costs remain the primary levers to offset continued decline in base oil prices. Even with higher CFO, we collected 56 million gallons of waste oil to feed our re-refining network and keep our plants running efficiently. In addition, we once again delivered income during the quarter. We also continued to grow our Group 3 production to be a premium to our conventional Group 2 volumes. We will continue to proactively manage our re-refining spread through providing consistent, reliable, and high-quality collection services at appropriate CFO rates, supported by market blended sales, and pursuing partnership opportunities. Turning to capital allocation on slide 7, we continue to seek opportunity to generate strong returns for a shareholder framework. We remain well-positioned to do so. Supported by strength of our balance sheet on the M&A front, we announced today to acquire and Depot Connect International, these businesses are carve-outs of DCI and will be integrated into our business as well as our field. This acquisition is expected to generate annual revenue of approximately $40 million with $11 million of annual adjusted EBITDA or roughly at 12 times multiple pay. We see a great strategic fit given their five locations in Ohio, Louisiana, and Texas and their fleet of trucks. DCI currently offers waste handling, tank cleaning, and rail car cleaning to expect the acquisition to close in the first half of the year. subject to customary closing conditions, active in the acquisition front in 2026, and we plan to continue to make strategic internal investment to accelerate our growth. Today, we announced a $50 million targeted expansion of our vacuum truck fleet, aimed at capitalizing on growth opportunities we are seeing through our SK, the limited availability of these specialized assets. This fleet expansion will be in 2027. This fleet growth program, which we anticipate will generate an incremental adjusted EBITDA of $12 to $14 million in 2028 once fully ramped is another element within the $500 million of incremental of the $500 million of internal investments we mentioned in our Q3 call. We anticipate that each of these projects will generate attractive returns for our shareholders. We also can need to view share repurchases as an attractive way to generate strong shareholder returns. As evidenced by our $133 million of repurchases, we've bought back a record number of shares this year, and we recently received board approval to expand our existing authorization by $350 million, providing a total of $600 million of remaining capacity and giving management significant flexibility to return capital to shareholders going forward. On the debt side, we refinanced a portion of our debt in 2025 at favorable terms, with we need to be entering 2026, having taken concrete actions across. Looking ahead, we entered 2026 rule of election businesses. run strong in 2026 and waste projects and PFAS to continue to feed our disposal and recycling network. We expect to do a growth of revenue and adjusted EBITDA that will culminate in enhanced company margins against this year. Our positive outlook is grounded on modest economic assumptions with additional upside potential. Overall, we expect another strong year of financial performance in 2026. And with that, let me turn it over to our CFO, Eric Dukas.

And good morning, everyone. Turning to our Q4 and full year results here on slide 9, our quarterly performance came in ahead of expectations we outlined in October, driven primarily by continued strong growth across both technical services and field services.

The underlying strength and in light of some of the challenges we had a Q4 revenue increased

5% to $1.5 billion in annual revenue for the first year. And just three years after 2022, your adjusted EBITDA increased 8% to $279 million, approximately $1.17 billion, capping off another year in which we demonstrated our ability to continue to grow the business while expanding margins. And this provides us with positive momentum at 18.6%, representing a 60 basis point improvement from the prior year period. It's a combination of disciplined pricing and continued efforts to maximize efficiencies across our network and transportation fleet. That's the EBITDA margin by 40 basis points, led by strong performance. The percentage of revenue in Q4 increased slightly from a year ago to 12.9%, primarily reflecting the percentage of revenue to 12.5% to tightly manage overhead and limit growth in non-billable headcount. Income from operations was $158.4 million, up 16% from the prior year. At incoming Q4, as we delivered EPS of $1.62, for the full year, EPS was $7.28 a share. We ended the year with cash and short-term marketable securities of more than $950 million, A sharp focus on working capital management and cash flow generation, which drove record-free cash flow in both Q4 and the full year. Our receivables balances declined by approximately $80 million from September, a testament to the broader team's efforts as collections meaningfully exceeded our expectations in the quarter. We closed the year with a net debt-to-EBITDA ratio of approximately 1.8 times, which is our lowest leverage in nearly 15 years. A blended interest rate, given our cash balances and low leverage, we have ample flexibility in patient strategies. It grew 17% to a record $355 million of $261 million, $509 million, coming in sharply above our guidance, driven in large part by the outstanding collection efforts I just mentioned, along with what represents nearly 44% of our 2025 adjusted EBITDA and underscoring the highly cash-generative nature of our business. Reflecting our major growth investments was down $20 million. Most spending and our Baltimore Hub Project SDA unit and $25 million related to our strategic fleet investment, $340 to $400 million. With a midpoint, we continue to return value to shareholders in Q4 By repurchasing, as Mike mentioned, we returned a record expansion of our authorization, and based on our long-term cash generation and returns profile, we continue to view our shares as attractively valued. According to our guidance on market conditions and business performance, the 2026 adjusted EBITDA range of $1.20 billion to $1.26 billion of $1.8 billion annual guidance from a quarterly perspective of EBITDA to grow 4% to 7% year over year and are $2 million of annual adjusted EBITDA contribution from the fleet growth we phased in over the course of two years. Back to the DCI business acquisition, our guidance currently incorporates an EBITDA, reflecting the uncertainty around the exact timing of adjusted EBITDA and environmental services for the year, supported by favorable demand trends in PFAS and remediation projects, Midpoint, and today we are guiding to approximately $135 million of adjusted EBITDA. While we have made great strides on our collection costs in 2025, we have yet to see any improvement in the basis of EBITDA to highly driven higher wages and benefits.

Insurance costs continue to experience some inflationary pressure.

We have numerous costs, a meaningful portion of free cash flow of $480 to $540 million, $110 million, 41% by a strong Q4. We continue growing the E.S. business organically and further enhancing its earnings potential. The environmental with industrial services segment will benefit from the continued ramp-up of Kimball Incinerator as it takes on higher volumes and processes more complex waste streams. It's by the company's growth trajectory. We believe our strategic initiatives, combined with current market conditions, should support the profitable growth embedded in our 2026 guidance. We enter the new year as a stronger company than we were a year ago and generating more cash. And we believe that positions us well for 2026 and beyond. Please open the call for questions.

Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, while we poll for questions. Thank you. Our first question comes from the line of Tyler Brown with Raymond James. Please proceed with your questions.

Hey, good morning, guys. Hey, Eric G., curious if you could maybe talk about and update us on how the conversations are going on the captive side. I know you talked about that in some prior calls, but do you think there will be any closure developments in 26 and 27? and just any broad thoughts on incineration pricing trends into 26?

As you know, we continue to monitor the U.S. and Canada to be about 40. Also, our networks, again, do it in our network. We expect to continue to outpace inflation and drive into the mid to incineration being a leading indicator there, and we still will continue.

Okay, great, great update. I was a bit curious on the commentary around industrial services. So, obviously, we've got a better ISM print, so maybe we're going to see some improvements in the industrial complex at some point. But what does give you the confidence there? Is that based on some hard plan turnaround work? And kind of, again, Eric Dugas, what is in the expectation there for 26?

26, Tyler, and the guide, as I said in my comments, fairly modest. We have seen some more positive, maybe some more positive leading economic indicators around ISM and PMI and things of that nature, but the guide really kind of has current market.

You know, as we touch base with every single one of them, we're getting ahead of their...

Okay, great. The growth, the revenue growth of the business, as you look at kind of Q1, Q2, Q3, it's definitely leveling off, as Eric G said.

The last one here real quick, Mike. Can you guys talk a little bit more about the back truck in the field investments? and this is really a broader question about all the internal growth investments that you guys have done and you do see, but is this move really more because the acquisitions have gotten so expensive and you've got a great market position, you've got buying power, et cetera, that the reality is that building may simply offer better economics than buying through M&A at this point?

Yeah, Tyler, all kinds of backwater organic waters, facility network, and that business across the board has been growing substantially, 14% range. So we've been adding more trucks. We've kind of been keeping up with that pace. We have to fuel that organic growth, but really what we want to do is continue that growth path of greater than 10%, build out more trucks, and just keep pace. It's really been a win-win. The answer is that our balance sheet allows us to do all these things.

Our cash flow generation has allowed us to do M&A and do capitalization. We signed the P&S for DCI, and there's others out there that we can do it all, given our cash flow generation. It's really just based on ROI and what's going on in the market.

Right. Okay. All right. Thank you. Appreciate the time.

All right, Todd.

Our next question comes from the line of Adam Bubis with Goldman Sachs. Please proceed with your question.

hey good morning uh just picking up on the mna point beyond the dci acquisition can you just update us on the mna pipeline and in terms of types of opportunities you're looking at and range of outcomes for acquisitions in 2026 yeah this is mike and i'll start the uh you know we

do see we do have a lot of lines in the line and frankly we did all through 2025 as well uh we weren't as successful but we do see a lot of opportunities there you know mostly in the environmental services business, mostly, you know, similar to what we think in DCI that has permanent facilities that have some, you know, we see those types of opportunities coming to market and we've been very active. Now, we haven't been as successful in 2025, but we see a lot of good opportunity and primarily in environmental service. And then I think the 1Q guide implies

year-over-year declines in safety, clean EBITDA, and then maybe a recovery in the balance of the year finishing flattish so can you just talk about the drivers of that improvement in the balance of the year is that coming from incremental charge for oil actions are there any uh assumptions for base oil prices improving in the guide it's eric i'll take that one and uh you're absolutely

it is uh in the year obviously as we did in 2025 we'll continue to counteract that with you know providing great oil collection services at the right price there that the market demands and so So as we move throughout the year, you know, things do get a little bit better. Some of that oil collection pricing modification kicks in. But Q1 is kind of the year-on-year low-water market, if you will.

And, Adam, we do have base oil pricing going down slightly, and we do have that not at the same level that happened in 2025, but we do assume a slight decline.

Great. Thanks so much.

Our next question comes from the line of Noah Kay with Oppenheimer. Pleased to see with your question.

Hey, good morning. Thanks for taking questions. There was a lot to like, I think, around the capital allocation. I want to get to that in a minute. But just on the core, field services, you know, you called out the $30 million of emergency response work. It sounds like that basically drove the revenue growth year over year in the quarter. Can you maybe quantify the level of ER work you did total or anything outsized you would call-out for 2025 and what you've assumed for ER work for 2026 in the guide?

We did over 20.

When you look at the 22,000 events that Eric mentioned, I mean, you know, that's up like 5% from last year. So we still see a fair amount of events that we grow here throughout 2026.

Very helpful. You know, I think just on the OneCube guide, just how much of a headwind will weather be? I mean, last year I know it was a 10 to 12 million EBITDA headwind. And obviously between Fern and some other events have had a rough start to the year. You know, some other players in the space have talked about it. So just where do you kind of think that ends up for 1Q?

You know, it's Eric Dugas here. I think when we looked at, when you think about weather year on year, I mean, we're, I think we've heard from some other people in Q1. I would say the weather impact is in Q1. That's really the lighter side of our guy here in Q1. You look at the EDS business, we're still growing 5% to 7% year on year. A lot of the great things that we did throughout 2025 and in Q4 that we just talked about kind of continue into Q1.

Yeah, we haven't seen, with all the nasty weather we've had, we've had some delays, but no plan upsets. No plan upsets.

Yep, yep, very good. All right, you know what, I'll turn it back over, take the rest offline.

Our next question comes from the line of David Manthe with Baird. Please proceed with your question.

Hi, good morning, everyone. My first question, a clarification here. I missed what you said

about corporate expense for 2026. What was that growth rate? Two to four. Okay. So looking at 2025

as a whole, if Clean Harbors was able to grow EBITDA by roughly 5% in 2025, and that's in the face of, you know, field and industrial being down and a 10 million headwind from SKSS EBITDA. And then in 2026, you're saying that each of those things are going flat or positive, and then you've got Kimball Ramping and all these other growth initiatives. I'm not being critical here. I'm just asking, like, when you look at all of those things, I'm wondering which one or what segment are you seeing that's going to be a drag to 2026 EBITDA growth? Because it feels like everything in 26 is either the same or better than it was in 25, and you're guiding for the same level of EBITDA growth. So if you could help me understand the bridge there.

Yeah, Dave, this is Mike. I'll start. I think that our goal is to make sure that we provide a balanced view as we go into the year. I mean, there's a lot of, I think, to your point, there's a lot of positive momentum. You certainly see some of the Soloway's guys talking about that momentum, and we see it as well. You know, January, as Eric said, was a rough month from a weather-wise standpoint. We want to see it. We want to see it. And my hope is we come back in a couple months and talk about a great Q1 and a great Q2 and Q3 as well. But, you know, you want to be thoughtful as you set expectations for the year. I think that a 5% growth, as Eric laid out in his script, is a reasonable growth, is a good starting point. And certainly in the face of, you know, what we see just, you know, you look at industrial production. We had a great January, but, you know, once is not a pattern. And so let's have a few quarters, a few months of this type of growth before we start claiming victory here. So that's kind of our view, and we want to be thoughtful about this, and we're hopeful that we come back here in a couple months and say how great the quarter was and how great you do in a two-three.

Yeah, yeah, got it. And on the first quarter, the first quarter EBITDA is a percentage of full year. It's been about, I don't know, 20.6% for the last three years on average, and this year you're sort of saying 19.5% based on the guidance midpoints. did you quantify the weather is that the the reason that we're we're down um it's only representing that smaller percentage overall david it's eric i think a couple things i would

as i said before i would think weather impacts kind of flattish year on year uh a little bit of year-on-year decline in skss and then you know just uh to go back to the beginning you're four percent for the full year corporate is a little bit heavier in q1 the way we've got it we've got it laid out. There's some natural inflation, but also a little bit of incentive comp. A little bit more incentive comp in our guide for Q1 this year versus last year we had some backup just because of the performance in Q1 last year. So that's probably the piece you're missing. But, you know, the whole year it calendarizes out pretty similarly. Yeah, it's more of a Q1 corporate

item, I think, Dave, when you look at it. And SKSS, as you saw, it's going to be a little soft from Q1, and that's really driven by, you know, some PFO pricing. We still had a year-end still on the balance sheet that kind of ran into Q1,

so Q1 was a bit of a...

Perfect. Thank you.

Our next question comes from the line of Brian Bergmeier with City. Please proceed with your question.

Good morning. Thanks for taking the question. Maybe just on, you know, safety clean, the charge for oil opportunity has been pretty compelling and successful. just curious you know to characterize how much sort of room to run there is there um do you maybe still feel clean harbors isn't getting proper value or is it or is it maybe mostly

about just kind of compounding at these levels now i think dave excuse me uh brian i think that the that our ability to continue to charge for for dirty motor oil has been a differentiator and i believe that we haven't really lost a lot of gallons in this process so i feel like this has been a hugely successful endeavor and really have been able to offset kind of the base oil pricing that we see you know i feel like we've kind of taken a good step forward and really made some real changes and i feel like that's going to continue to pay off we're not we're not as you saw from eric dugas's comments around the year for 2026 we're not assuming that that gets a lot better but we're hopeful that the oil prices stabilize even recover that could be a huge winner for us

got it thank you for that and then just one follow-up is is uh maybe just on the group three oil production um just you know again from like a high level if you can maybe frame that sort of size the opportunity um for clean harbors um is there any material contribution to 26 um yeah that

would that would be really helpful thanks i'll turn it over yeah brian eric here so um when we look at our run rate of our group three production we're in the neighborhood of the four to six million gallons increasing year over year and that uh it's meaningful but when we blend that oil

year over year the track our next question comes from a line of jerry ravage with wells fargo

please proceed with your question hi this is jake wayman on for jerry thank you for taking our question the technical services segment saw good acceleration in the fourth quarter can you walk us through the key drivers of that acceleration, whether it was project activity, pricing, mix, volume, and how much of that momentum carries into the first quarter? Thank you.

Yeah, I'll begin. Clean environmental business, strong waste collection, along with vac services. We highlighted that. When we look at the field services business, lots of ERs, long base business. And then finally, our project.

And what Eric said is that large ERs, you know, we're not assuming that there's going to be a large bounce back in the chemical or the refining area, and we're not assuming a base oil recovery. I mean, so, you know, we have a lot of good opportunity there, though. So we feel like this growth that we're talking about is a reasonable assumption, but, you know, those things do turn around, and I think six and beyond.

Thank you very much for your helpful. And then just as a follow-up, I know you provided, I was just hoping you could speak on the moving pieces of the environmental services 5% growth guide for 2026 and any cadence on the quarters outside of the 1Q that you already provided.

Thank you.

Jake, I would say, you know, just to point out a couple of the big drivers in that 2026 growth. And, yes, you know, we talked in our script, you know, it's year two of the Kimball incinerator. So I talked about an incremental kind of $10 to $15 million of EBITDA there across the network by continuing to ramp up that facility. PFAS opportunities and the growing pipeline there, a 20% increase into 2026 is in our guide. And so those are probably two meaningfully discrete pieces. You know, continued field services growth and some of the new branches and new agreements we're getting into with existing customers that Eric highlighted a moment ago. And then you really have all those great things that we continue to do in technical services and safety clean branch around growing volumes and pricing strategies and being diligent around those. And that's all wrapped with continuing to provide just great service to all our customers. So, you know, I would say those are the big drivers. And yes, in terms of, you know, calendarizing out the quarters, I would say that, you know, it very much kind of calendarizes out, you know, kind of 5% growth roughly in each quarter. year on year. So we're the acquisition

in the back half of the year.

Yes, fantastic. Thank you very much.

Our next question comes from the line of Larry Solo with CJS Securities. Please proceed with your question.

Great. Thank you. Good morning, guys. First, congrats on the cash flow on the quarter and really for the year. I can remember 10 years ago when cash flow was a sore thumb, but now it's a real highlight. So I commend you for that. Thanks, Larry. Good to hear it, man. I've been around, but too long. So I guess the next question, Eric G., just on the – I really appreciate the PFAS, a lot of good stuff. I like the picture on the slide, too. It feels like, you know, operationally regulatory, the momentum is really stronger than it's ever been. It sounds like you can do about 150 this year, plus or minus. But, you know, are we getting closer to an inflection point where – I don't know where that inflection point takes us, but where we could really see an acceleration of revenue growth over the next few years.

But, excuse me. Yeah, it's a great point, Larry. I think we, Public Works, were talking about that PFAS remediation and cleanup and that there is to handle the growth. I think the other key, and we've gotten some great feedback on that, those regulatory programs, more so we've been communicating those to our customers. And the way we got to the revenue that we are today is by, I think, all that we do think and I think we all believe.

I have a question for Eric Dugas. Doesn't the three-year contract that you signed, doesn't that almost get you to that 20% growth by itself this year? Kind of busting chops a little bit on that one, but isn't that kind of fair, or is that all not incremental, that 110 over three years?

Yeah, keep in mind that we do some work there today, Larry, and so that 110 is the total it's uh you know it's it's it's increasing uh you know 15 to 30 million i think in any given year over that three-year period from what we do today so there's still running out room to run

i guess my second question here just on the the margin improvement again also really nice um and uh we don't need to call it the streaks but you know you may not be able to predict continuing every single quarter but uh up to 26 percent EBITDA margin as you as you look out three to five years um could this continue to expand and could we could we be talking about a 30 percent EBITDA margin business and you know when we reach 2030 in the future for us and you

know internally that's that's the the target the reset target that maybe we have now but it's 30 percent and beyond now what year we hit that i mean i think we're going to continue to strive to expand margins you know at a minimum 30 to 50 basis points a year that's what we said and we've

been able to kind of overachieve on that. So, you know, exactly what year we're going to be above 30%, I can't tell you, but that's the internal goal. I guess just one thing that I'd like to share relative to that is, you know, with our margins in environmental services here, you know, just about 26% for the year, we're exceeding those margins that we had assumed in our vision 2027 a couple of years ago in fiscal 2027. So call it, you know, two years ahead. But certainly, You know, we see a lot of runway in margins, continued growth margins through volume, pricing initiatives, internalization of costs, greater use of technologies, all those things. Holding on to our people and reducing kind of turnover, that's been a great thing for us the last couple of years. So we're going to keep, we'll see margins expand.

Yeah, Larry, 2030, 2032, we have a number of opportunities that continue to lower turnover, all those things, and driving pricing.

Okay, great. I appreciate all the color.

Our next question comes from the line of James Shum with TD Cowan. Please proceed with your question.

Hey, good morning, guys. Mike, can we just talk about SKSS a little bit? You gave some breadcrumbs, but, like, where are you for leading-edge pricing? Are we, like, 50 cents a gallon, or are you above that? And then just where are you in terms of utilization of your refineries? Any thoughts to closing another refinery, or, you know, do you feel good about where you are now? And then just any color on the – or update on the Castrol partnership?

The first of which is that we are north of 50 cents as we get into 2026 here. I think we've done a good job of driving price improvements in our UMO pricing and really changing the marketplace, kind of where we were a year ago to kind of where we are now. It's really unbelievably good, and the team has done a nice job of really holding the line. And the good news is that we haven't really seen – we have lost some gallons, but we haven't lost nearly as many gallons as we thought. And as such, we haven't had the need to, as we say here today, to close any more re-refineries, and I think we've been able to feed our network. As I said in my prepared remarks, we've been able to feed our refineries with the used motor oil we've been able to collect at really good pricing. You know, when I think about the future in our capital partnership, it's been successful. We've had some good wins there. Has it been as successful as we thought it would be? Probably needs more work there, but it's a long-selling cycle. We understand that. The team at Capital has done a good job of driving that. We've been good partners with them. And we have had a couple of good wins, but that hasn't been as big of a needle mover as well.

Okay, great. And then just in terms of the pricing, it's kind of hard to get base oil pricing or, you know, can you help us understand, you know, where your average sales price was or is now? Is there anything, any help you can give there?

It's hard. You know, we have a lot of different customers at a lot of different price points, but, you know, it has been down. I mean, just cutting through it all. They're having a fair amount of base oil pricing. We are managing a spread.

Great. Thank you for that. And just lastly for me, Veolia bought Clean Earth, as you're fully aware. Do you expect to lose a certain amount of volumes or EBITDA with that transaction? Is there any impact to 2026 that you guys are contemplating?

Not at all, James. Yeah, they were obviously the successful acquirer of that, but we do not anticipate. In fact, we overall think that it continued to grow.

Okay, great. Appreciate it.

As a reminder, if you would like to ask a question, press star 1 on your telephone keypad. Our next question comes from the line of Toby Sommer with Truist. Please proceed with your question.

Thanks. It's been so long since we've had sort of a good industrial economy. I mean, maybe could you remind us what your growth in revenue and EBITDA would look like in a good industrial economy year and maybe contrast that with the guide?

Yeah, Toby, I'm happy to. For some years, we were growing. We were growing ES revenue, and we were growing, you know, that ES business. It's 15 straight quarters, but it does have to happen in our pipeline. I'm hopeful that we have kind of four good quarters up.

And what parts of the business of the portfolio do you think would see it first so that, you know, as we work our way through the reported quarters this year, if we start to see improvements in what areas would that lead to greater confidence in the industrial recovery?

I mean, you'd see it in environmental services. I mean, it's hard to say, which I think you see in all four parts of the lines of business that would make up environmental services, whether it be TS, FS, IS, or SK branch, you'd see all four of those with an increased industrial production. I feel like they would all be the beneficiary of that, maybe TS and IS more so, but I see all four of those lines of business which make up the environmental services segment. Proving real good.

Thanks. Last one for me. If you dream the dream for PFAS, what's the best catalyst that you could think of in terms of the regulator, perhaps the DOD? What kind of event could transpire that would really catalyze growth there?

Yeah, Toby.

Thank you very much.

We have no further questions at this time. Mr. Gerstenberg, I'd like to turn the floor back over to you for closing comments.

Everyone joining us today, our next investor event.

This does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day.