Waste Connections Reports Second Quarter 2026 Results and Raises Full Year Outlook

Waste Connections Reports Second Quarter 2026 Results and Raises Full Year Outlook Better than expected results drive increase to full year 2026 outlook, with upside from improving commodities and ongoing acquisition activity Revenue of $2.562 billion, above expectations and up 6.4% Net income of $296.4 million, or $1.17 per share, adjusted net income* of $381.7 million, or $1.50 per share Adjusted EBITDA* of $840.1 million, above expectations and up 6.8% Adjusted EBITDA* margin of 32.8% of revenue Record year-to-date share repurchases of $614.5 million, or approximately 1.5% of shares outstanding Waste Connections, Inc. (TSX/NYSE: WCN) (“Waste Connections” or the “Company”) today announced its results for the second quarter of 2026 and raised its outlook for the full year. “We are extremely pleased to deliver results above expectations, led primarily by strong operational execution driving a top-to-bottom beat in the second quarter. Most notably, adjusted EBITDA* margin expanded to 32.8% on 70 basis points of underlying margin expansion overcoming cost pressures primarily from rapidly spiking fuel and related costs, as well as ongoing drags from comparatively lower commodity values,” said Ronald J. Mittelstaedt, President and Chief Executive Officer. "Our outperformance, in spite of ongoing geopolitical instability and the associated uncertainty, is a reflection of our differentiated strategy and a purposeful culture, both of which will continue to set us apart." “Our achievements in the first half of 2026, with recent commodity values and ongoing fuel cost recovery, plus contributions from acquisitions closed to date, position us to increase our full year outlook to revenue of $10.02 billion to $10.05 billion and adjusted EBITDA* of $3.33 billion to $3.34 billion, with upside from improving trends in commodities and contributions from incremental acquisitions.” Mr. Mittelstaedt added, “Along with a record amount of share repurchases, we’ve completed acquisitions with over $100 million in annualized revenue and remain well-positioned for another outsized year of activity. The enduring strength of our balance sheet and free cash flow generation once again demonstrates our ability to fund our growth strategy while increasing our return of capital to shareholders.” Q2 2026 Results Revenue in the second quarter totaled $2.562 billion, up from $2.407 billion in the year ago period. Operating income was $437.6 million, which included $58.5 million primarily attributable to impairments related to adjustments to landfill closure and post closure costs and $7.9 million primarily in transaction-related expenses. This compares to operating income of $459.5 million in the second quarter of 2025, which included $7.3 million primarily in impairments and other operating items and transaction-related expenses. Net income in the second quarter was $296.4 million, or $1.17 per share on a diluted basis of 253.9 million shares. In the year ago period, the Company reported net income of $290.3 million, or $1.12 per share on a diluted basis of 259.0 million shares. Adjusted net income* in the second quarter was $381.7 million, or $1.50 per diluted share, versus $333.1 million, or $1.29 per diluted share, in the prior year period. Adjusted EBITDA* in the second quarter was $840.1 million, as compared to $786.4 million in the prior year period. Adjusted net income, adjusted net income per diluted share and adjusted EBITDA, all non-GAAP measures, primarily exclude impairments and acquisition-related items, as reflected in the detailed reconciliations in the attached tables. Six Months Year to Date Results For the six months ended June 30, 2026, revenue was $4.932 billion, up from $4.635 billion in the year ago period. Operating income, which included $138.0 million primarily attributable to adjustments to landfill closure and post closure costs, $9.9 million in transaction-related expenses, partially offset by $1.3 million in fair value changes to equity awards, was $801.6 million, as compared to operating income of $849.8 million in the prior year period, which included $27.5 million primarily attributable to transaction-related expenses and impairments and other operating items. Net income for the six months ended June 30, 2026 was $515.7 million, or $2.02 per share on a diluted basis of 254.9 million shares. In the year ago period, the Company reported net income of $531.8 million, or $2.05 per share on a diluted basis of 258.9 million shares. Adjusted net income* for the six months ended June 30, 2026 was $696.6 million, or $2.73 per diluted share, compared to $626.2 million, or $2.42 per diluted share, in the year ago period. Adjusted EBITDA* for the six months ended June 30, 2026 was $1.610 billion, as compared to $1.499 billion in the prior year period. Updated 2026 Outlook Waste Connections also updated its outlook for 2026, which assumes no change in the current economic environment or underlying economic trends. The Company’s outlook excludes any impact from additional acquisitions that may close during the year, and expensing of transaction-related items. The outlook provided below is forward looking, and actual results may differ materially depending on risks and uncertainties detailed at the end of this release and in our periodic filings with the U.S. Securities and Exchange Commission and the securities commissions or similar regulatory authorities in Canada. Certain components of the outlook for 2026 are subject to quarterly fluctuations. See reconciliations in the attached tables. Revenue is estimated to be between $10.02 billion to $10.05 billion;Net income is estimated to be between $1.169 billion and $1.173 billion, and adjusted EBITDA * is estimated to be between $3.33 billion and $3.34 billion;Capital expenditures are estimated to be approximately $1.25 billion; andNet cash provided by operating activities is estimated to be between $2.63 billion and $2.68 billion, and adjusted free cash flow * is estimated to be between $1.40 billion and $1.45 billion. ---------------------------------------------------------------------------------------------------------------------------------------------------- * A non-GAAP measure; see accompanying Non-GAAP Reconciliation Schedule Q2 2026 Earnings Conference Call Waste Connections will be hosting a conference call related to second quarter earnings on July 23rd at 8:30 A.M. Eastern Time. A live audio webcast of the conference call can be accessed by visiting investors.wasteconnections.com and selecting "Events & Presentations" from the website menu. Alternatively, conference call participants can preregister by clicking here. Registered participants will receive dial-in instructions and a personalized code for entry to the conference call. Shortly after the conclusion of the conference call, a webcast replay will be available on the Waste Connections investor website or by clicking here. About Waste Connections Waste Connections (wasteconnections.com) is an integrated solid waste services company that provides non-hazardous waste collection, transfer and disposal services, including by rail, along with resource recovery primarily through recycling and renewable fuels generation. The Company serves approximately nine million residential, commercial and industrial customers in mostly exclusive and secondary markets across 46 states in the U.S. and six provinces in Canada. Waste Connections also provides non-hazardous oilfield waste treatment, recovery and disposal services in several basins across the U.S. and Canada, as well as intermodal services for the movement of cargo and solid waste containers in the Pacific Northwest. Waste Connections views its sustainability efforts as integral to its business, with initiatives consistent with its objective of long-term value creation and focused on reducing emissions, increasing resource recovery of both recyclable commodities and clean energy fuels, reducing reliance on off-site disposal for landfill leachate, further improving safety and enhancing employee engagement. Visit wasteconnections.com/sustainability for more information and updates on our progress towards targeted achievement. Safe Harbor and Forward-Looking Information This press release contains forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995 ("PSLRA"), including "forward-looking information" within the meaning of applicable Canadian securities laws. These forward-looking statements are neither historical facts nor assurances of future performance and reflect Waste Connections' current beliefs and expectations regarding future events and operating performance. These forward-looking statements are often identified by the words "may," "might," "believes," "thinks," "expects," "estimate," "continue," "intends" or other words of similar meaning. All of the forward-looking statements included in this press release are made pursuant to the safe harbor provisions of the PSLRA and applicable securities laws in Canada. Forward-looking statements involve risks and uncertainties. Forward-looking statements in this press release include, but are not limited to, statements about expected 2026 financial results, outlook and related assumptions, and potential acquisition activity. Important factors that could cause actual results to differ, possibly materially, from those indicated by the forward-looking statements include, but are not limited to, risk factors detailed from time to time in the Company's filings with the SEC and the securities commissions or similar regulatory authorities in Canada. You should not place undue reliance on forward-looking statements, which speak only as of the date of this press release. Waste Connections undertakes no obligation to update the forward-looking statements set forth in this press release, whether as a result of new information, future events, or otherwise, unless required by applicable securities laws. – financial tables attached – WASTE CONNECTIONS, INC. CONDENSED CONSOLIDATED STATEMENTS OF NET INCOME THREE AND SIX MONTHS ENDED JUNE 30, 2025 AND 2026 (Unaudited) (in thousands of U.S. dollars, except share and per share amounts) Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Revenues $ 2,407,055 $ 2,561,607 $ 4,635,231 $ 4,932,239 Operating expenses: Cost of operations 1,392,857 1,479,217 2,684,299 2,840,317 Selling, general and administrative 242,966 260,493 493,100 511,612 Depreciation 257,421 278,277 499,728 545,762 Amortization of intangibles 50,236 47,600 97,878 94,864 Impairments and other operating items 4,030 58,466 10,471 138,050 Operating income 459,545 437,554 849,755 801,634 Interest expense (82,751 ) (91,203 ) (163,626 ) (178,922 ) Interest income 2,314 4,126 4,084 7,239 Other income, net 10,050 33,253 11,922 37,337 Income before income tax provision 389,158 383,730 702,135 667,288 Income tax provision (98,882 ) (87,331 ) (170,348 ) (151,546 ) Net income $ 290,276 $ 296,399 $ 531,787 $ 515,742 Earnings per common share: Basic $ 1.12 $ 1.17 $ 2.06 $ 2.03 Diluted $ 1.12 $ 1.17 $ 2.05 $ 2.02 Shares used in the per share calculations: Basic 258,377,345 253,457,489 258,286,168 254,398,232 Diluted 258,982,647 253,856,582 258,944,234 254,860,729 Cash dividends per common share $ 0.315 $ 0.350 $ 0.630 $ 0.70 WASTE CONNECTIONS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (in thousands of U.S. dollars, except share and per share amounts) December 31, 2025 June 30, 2026 ASSETS Current assets: Cash and equivalents $ 45,968 $ 98,180 Accounts receivable, net of allowance for credit losses of $21,402 and $23,961 at December 31, 2025 and June 30, 2026, respectively 1,024,992 1,069,733 Prepaid expenses and other current assets 240,603 231,225 Total current assets 1,311,563 1,399,138 Restricted cash 183,612 163,398 Restricted investments 80,757 72,781 Property and equipment, net 8,733,327 8,965,023 Operating lease right-of-use assets 312,508 315,657 Goodwill 8,392,249 8,388,109 Intangible assets, net 2,006,200 1,973,464 Other assets, net 109,147 121,882 Total assets $ 21,129,363 $ 21,399,452 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities: Accounts payable $ 765,227 $ 771,781 Book overdraft 14,674 28,918 Deferred revenue 416,025 429,904 Accrued liabilities 810,367 781,129 Current portion of operating lease liabilities 44,272 46,878 Current portion of contingent consideration 65,029 61,416 Current portion of long-term debt and notes payable 8,667 8,094 Total current liabilities 2,124,261 2,128,120 Long-term portion of debt and notes payable 8,811,104 9,283,810 Long-term portion of operating lease liabilities 267,000 270,860 Long-term portion of contingent consideration 19,667 19,647 Deferred income taxes 1,085,613 1,121,465 Other long-term liabilities 576,337 654,332 Total liabilities 12,883,982 13,478,234 Commitments and contingencies Shareholders’ equity: Common shares: Unlimited shares authorized; 255,661,011 shares issued and 255,614,663 shares outstanding at December 31, 2025; 252,201,043 shares issued and 252,154,695 shares outstanding at June 30, 2026 2,783,431 2,171,955 Additional paid-in capital 373,239 389,514 Accumulated other comprehensive loss (111,044 ) (178,647 ) Treasury shares: 46,348 and 46,348 shares at December 31, 2025 and June 30, 2026, respectively - - Retained earnings 5,199,755 5,538,396 Total shareholders’ equity 8,245,381 7,921,218 Total liabilities and shareholders’ equity $ 21,129,363 $ 21,399,452 WASTE CONNECTIONS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS SIX MONTHS ENDED JUNE 30, 2025 AND 2026 (Unaudited) (in thousands of U.S. dollars) Six months ended June 30, 2025 2026 Cash flows from operating activities: Net income $ 531,787 $ 515,742 Adjustments to reconcile net income to net cash provided by operating activities: Loss from disposal of assets, impairments and other 11,480 7,164 Adjustments to closure and post-closure liabilities - 131,980 Depreciation 499,728 545,762 Amortization of intangibles 97,878 94,864 Deferred income taxes, net of acquisitions 58,292 37,189 Current period provision for expected credit losses 5,171 14,519 Amortization of debt issuance costs 4,101 4,502 Share-based compensation 41,956 41,539 Interest accretion 25,556 22,156 Payment of contingent consideration recorded in earnings (400 ) (1 ) Adjustments to contingent consideration 30,584 (1,315 ) Other (2,661 ) (3,778 ) Net change in operating assets and liabilities, net of acquisitions (123,731 ) (131,437 ) Net cash provided by operating activities 1,179,741 1,278,886 Cash flows from investing activities: Payments for acquisitions, net of cash acquired (510,738 ) (309,644 ) Capital expenditures for property and equipment (497,765 ) (598,949 ) Capital expenditures for undeveloped land - (51,049 ) Proceeds from disposal of assets 5,417 2,922 Other (16,886 ) (5,232 ) Net cash used in investing activities (1,019,972 ) (961,952 ) Cash flows from financing activities: Proceeds from long-term debt 1,613,594 1,703,552 Principal payments on notes payable and long-term debt (1,488,785 ) (1,176,382 ) Payment of contingent consideration recorded at acquisition date (22,895 ) (4,707 ) Change in book overdraft 397 14,244 Payments for repurchase of common shares (389 ) (614,507 ) Payments for cash dividends (162,950 ) (177,101 ) Tax withholdings related to net share settlements of equity-based compensation (30,934 ) (24,985 ) Debt issuance costs (3,433 ) (5,676 ) Proceeds from issuance of shares under employee share purchase plan 2,593 3,031 Proceeds from sale of common shares held in trust 324 - Net cash used in financing activities (92,478 ) (282,531 ) Effect of exchange rate changes on cash, cash equivalents and restricted cash 2,007 (2,405 ) Net increase in cash, cash equivalents and restricted cash 69,298 31,998 Cash, cash equivalents and restricted cash at beginning of period 198,173 229,580 Cash, cash equivalents and restricted cash at end of period $ 267,471 $ 261,578 ADDITIONAL STATISTICS (in thousands of U.S. dollars, except where noted) Solid Waste Internal Growth: The following table reflects a breakdown of the components of our solid waste internal growth for the three and six month periods ended June 30, 2026: Three months ended June 30, 2026 Six months ended June 30, 2026 Yield(a) 4.6 % 4.6 % Surcharges 1.1 % 0.5 % Unit Volume(a) (1.9 %) (1.7 %) Recycling (0.2 %) (0.3 %) Foreign Exchange Impact 0.0 % 0.2 % Total 3.6 % 3.3 % Core Price(b) 5.6 % 5.8 % ----------------------------------------------------------------------------- (a) In the first quarter of 2026, WCN began providing a breakdown of organic growth in solid waste collection, transfer and disposal to include Yield and Unit Volume, which are performance metrics used by management to evaluate the effectiveness of our pricing and organic growth strategies. Yield, or change in average price per unit of service, reflects the impacts of customer churn and new business activity and the resulting mix by line of business and by geographic segment; Unit Volume reflects estimated change in units of activity. (b) Core Price is defined as the revenue growth attributable to price increases, net of rollbacks, on solid waste collection, transfer and disposal customers. This definition is consistent with Core Price references provided in prior periods. Revenue Breakdown: The following table reflects a breakdown of our revenue for the three month periods ended June 30, 2025 and 2026: Three months ended June 30, 2025 Revenue Inter-company Elimination Reported Revenue % Solid Waste Collection $ 1,690,785 $ (5,331 ) $ 1,685,454 70.0 % Solid Waste Disposal and Transfer 784,015 (342,396 ) 441,619 18.3 % Solid Waste Recycling 69,163 (2,358 ) 66,805 2.8 % E&P Waste Treatment, Recovery and Disposal 178,117 (8,282 ) 169,835 7.1 % Intermodal and Other 43,934 (592 ) 43,342 1.8 % Total $ 2,766,014 $ (358,959 ) $ 2,407,055 100.0 % Three months ended June 30, 2026 Revenue Inter-company Elimination Reported Revenue % Solid Waste Collection $ 1,789,235 $ (5,512 ) $ 1,783,723 69.6 % Solid Waste Disposal and Transfer 829,536 (365,280 ) 464,256 18.1 % Solid Waste Recycling 63,946 (2,549 ) 61,397 2.4 % E&P Waste Treatment, Recovery and Disposal 211,153 (10,198 ) 200,955 7.9 % Intermodal and Other 62,806 (11,530 ) 51,276 2.0 % Total $ 2,956,676 $ (395,069 ) $ 2,561,607 100.0 % ADDITIONAL STATISTICS (continued) (in thousands of U.S. dollars, except where noted) Contribution from Acquisitions: The following table reflects revenues from acquisitions, net of divestitures, closed during or subsequent to the prior periods: Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Acquisitions, net $ 112,870 $ 45,758 $ 242,168 $ 101,011 Other Cash Flow Items: The following table reflects cash interest and cash taxes for the three and six month periods ended June 30, 2025 and 2026: Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Cash Interest Paid $ 71,092 $ 64,657 $ 155,246 $ 172,901 Cash Taxes Paid 68,965 77,306 91,140 99,179 Debt to Book Capitalization as of June 30, 2026: 54% Internalization for the three months ended June 30, 2026: 59% Days Sales Outstanding for the three months ended June 30, 2026: 38 (23 net of deferred revenue) Share Information for the three months ended June 30, 2026: Basic shares outstanding 253,457,489 Dilutive effect of equity-based awards 399,093 Diluted shares outstanding 253,856,582 NON-GAAP RECONCILIATION SCHEDULE (in thousands of U.S. dollars, except where noted) Reconciliation of Adjusted EBITDA: Adjusted EBITDA, a non-GAAP financial measure, is provided supplementally because it is widely used by investors as a performance and valuation measure in the solid waste industry. Management uses adjusted EBITDA as one of the principal measures to evaluate and monitor the ongoing financial performance of Waste Connections’ operations. Waste Connections defines adjusted EBITDA as net income, plus income tax provision, plus interest expense, less interest income, plus depreciation and amortization expense, plus closure and post-closure accretion expense, plus or minus any loss or gain on impairments and other operating items, plus other expense, less other income. Waste Connections further adjusts this calculation to exclude the effects of other items management believes impact the ability to assess the operating performance of its business. This measure is not a substitute for, and should be used in conjunction with, GAAP financial measures. Other companies may calculate adjusted EBITDA differently. Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Net income $ 290,276 $ 296,399 $ 531,787 $ 515,742 Plus: Income tax provision 98,882 87,331 170,348 151,546 Plus: Interest expense 82,751 91,203 163,626 178,922 Less: Interest income (2,314 ) (4,126 ) (4,084 ) (7,239 ) Plus: Depreciation and amortization 307,657 325,877 597,606 640,626 Plus: Closure and post-closure accretion 11,942 10,328 23,816 20,619 Plus: Impairments and other operating items 4,030 58,466 10,471 138,050 Less: Other income, net (10,050 ) (33,253 ) (11,922 ) (37,337 ) Adjustments: Plus: Transaction-related expenses(a) 3,973 7,588 15,943 9,948 Plus/(Less): Fair value changes to equity awards(b) (734 ) 267 1,036 (1,269 ) Adjusted EBITDA $ 786,413 $ 840,080 $ 1,498,627 $ 1,609,608 As % of revenues 32.7 % 32.8 % 32.3 % 32.6 % ____________________________ (a) Reflects the addback of acquisition-related transaction costs. (b) Reflects fair value accounting changes associated with certain equity awards. NON-GAAP RECONCILIATION SCHEDULE (continued) (in thousands of U.S. dollars, except where noted) Reconciliation of Adjusted Free Cash Flow: Adjusted free cash flow, a non-GAAP financial measure, is provided supplementally because it is widely used by investors as a liquidity measure in the solid waste industry. Waste Connections calculates adjusted free cash flow as net cash provided by operating activities, plus or minus change in book overdraft, plus proceeds from disposal of assets, less capital expenditures for property and equipment. Waste Connections further adjusts this calculation to exclude the effects of items management believes impact the ability to evaluate the liquidity of its business operations. This measure is not a substitute for, and should be used in conjunction with, GAAP liquidity or financial measures. Other companies may calculate adjusted free cash flow differently. Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Net cash provided by operating activities $ 638,202 $ 733,288 $ 1,179,741 $ 1,278,886 Plus: Change in book overdraft 507 20,358 397 14,244 Plus: Proceeds from disposal of assets 4,448 1,143 5,417 2,922 Less: Capital expenditures for property and equipment (285,310 ) (302,354 ) (497,765 ) (598,949 ) Adjustments: Transaction-related expenses(a) 8,769 5,759 11,161 7,372 Executive separation costs(b) 1,670 978 2,119 978 Payment of contingent consideration recorded in earnings(c) 400 1 400 1 Pre-existing Progressive Waste share-based grants(d) - - 16 - Tax effect(e) (1,673 ) (1,684 ) (2,398 ) (2,088 ) Adjusted free cash flow $ 367,013 $ 457,489 $ 699,088 $ 703,366 As % of revenues 15.2 % 17.9 % 15.1 % 14.3 % ___________________________ (a) Reflects the addback of acquisition-related transaction costs. (b) Reflects the cash component of severance expense associated with an executive departure from 2023. (c) Reflects the addback of acquisition-related payments for contingent consideration that were recorded as expenses in earnings and as a component of cash flows from operating activities as the amounts paid exceeded the fair value of the contingent consideration recorded at the acquisition date. (d) Reflects the cash settlement of pre-existing Progressive Waste share-based awards during the period. (e) The aggregate tax effect of footnotes (a) through (d) is calculated based on the applied tax rates for the respective periods. NON-GAAP RECONCILIATION SCHEDULE (continued) (in thousands of U.S. dollars, except per share amounts) Reconciliation of Adjusted Net Income and Adjusted Net Income per Diluted Share: Adjusted net income and adjusted net income per diluted share, both non-GAAP financial measures, are provided supplementally because they are widely used by investors as valuation measures in the solid waste industry. Management uses adjusted net income and adjusted net income per diluted share as one of the principal measures to evaluate and monitor the ongoing financial performance of Waste Connections’ operations. Waste Connections provides adjusted net income to exclude the effects of items management believes impact the comparability of operating results between periods. Adjusted net income has limitations due to the fact that it excludes items that have an impact on the Company’s financial condition and results of operations. Adjusted net income and adjusted net income per diluted share are not a substitute for, and should be used in conjunction with, GAAP financial measures. Other companies may calculate these non-GAAP financial measures differently. Three months ended June 30, Six months ended June 30, 2025 2026 2025 2026 Reported net income $ 290,276 $ 296,399 $ 531,787 $ 515,742 Adjustments: Amortization of intangibles(a) 50,236 47,600 97,878 94,864 Impairments and other operating items(b) 4,030 58,466 10,471 138,050 Transaction-related expenses(c) 3,973 7,588 15,943 9,948 Fair value changes to equity awards(d) (734 ) 267 1,036 (1,269 ) Tax effect(e) (14,687 ) (28,629 ) (30,898 ) (60,765 ) Adjusted net income $ 333,094 $ 381,691 $ 626,217 $ 696,570 Diluted earnings per common share: Reported net income $ 1.12 $ 1.17 $ 2.05 $ 2.02 Adjusted net income $ 1.29 $ 1.50 $ 2.42 $ 2.73 _________________________ (a) Reflects the elimination of the non-cash amortization of acquisition-related intangible assets. (b) Reflects the addback of impairments and other operating items. (c) Reflects the addback of acquisition-related transaction costs. (d) Reflects fair value accounting changes associated with certain equity awards. (e) The aggregate tax effect of the adjustments in footnotes (a) through (d) is calculated based on the applied tax rates for the respective periods. UPDATED 2026 OUTLOOK NON-GAAP RECONCILIATION SCHEDULE (in thousands of U.S. dollars, except where noted) Reconciliation of Adjusted EBITDA: Updated 2026 Outlook Low Estimate High Estimate Net income $ 1,169,000 $ 1,173,000 Plus: Income tax provision(a) 351,000 353,000 Plus: Interest expense, net 358,000 358,000 Plus: Depreciation and Depletion 1,110,000 1,114,000 Plus: Amortization 192,000 192,000 Plus: Closure and post-closure accretion 40,608 40,608 Plus: Impairments and other operating items(b) 138,050 138,050 Less: Other income, net(b) (37,337 ) (37,337 ) Adjustments(b) Plus: Transaction-related expenses 9,948 9,948 Plus: Fair value changes to equity awards (1,269 ) (1,269 ) Adjusted EBITDA $ 3,330,000 $ 3,340,000 ____________________________ (a) Approximately 23.1% full year effective tax rate, including amounts reported for the six month period ended June 30, 2026. (b) Reflects amounts reported for the six month period ended June 30, 2026, as shown on page 9. Reconciliation of Adjusted Free Cash Flow: Updated 2026 Outlook Low Estimate High Estimate Net cash provided by operating activities $ 2,626,571 $ 2,676,571 Plus: Change in book overdraft(a) 14,244 14,244 Plus: Proceeds from disposal of assets(a) 2,922 2,922 Less: Capital expenditures for property and equipment (1,250,000 ) (1,250,000 ) Adjustments:(a) Transaction-related expenses 7,372 7,372 Executive separation costs 978 978 Payment of contingent consideration recorded in earnings 1 1 Tax effect (2,088 ) (2,088 ) Adjusted Free Cash Flow $ 1,400,000 $ 1,450,000 ____________________________ (a) Reflects amounts reported for the six month period ended June 30, 2026, as shown on page 10. Source: Waste Connections, Inc.