ENVIRI CorpNVRI
ENVIRI Corp Revenue Disclosure
Revenues *
The Company recognizes revenues to depict the transfer of promised services and products to customers in an amount that reflects the consideration the Company expects to receive in exchange for those services or products. Service revenues include CE and the service components of HE and Rail. Product revenues include portions of HE and Rail.
A summary of the Company's revenues by primary geographical markets as well as by key product and service groups for the years ended December 31, 2025, 2024 and 2023 is as follows:
| Year Ended December 31, 2025 | ||||||||||||||||||||||||||
| (In thousands) | Harsco Environmental | Clean Earth | Harsco Rail | Consolidated Totals | ||||||||||||||||||||||
Primary Geographical Markets (a): | ||||||||||||||||||||||||||
| North America | $ | 228,691 | $ | 973,853 | $ | 141,527 | $ | 1,344,071 | ||||||||||||||||||
| Western Europe | 401,709 | — | 81,779 | 483,488 | ||||||||||||||||||||||
Latin America (b) | 148,619 | — | 2,925 | 151,544 | ||||||||||||||||||||||
| Asia-Pacific | 118,556 | — | 20,863 | 139,419 | ||||||||||||||||||||||
| Middle East and Africa | 102,808 | — | — | 102,808 | ||||||||||||||||||||||
| Eastern Europe | 19,028 | — | — | 19,028 | ||||||||||||||||||||||
| Total Revenues | $ | 1,019,411 | $ | 973,853 | $ | 247,094 | $ | 2,240,358 | ||||||||||||||||||
| Key Product and Service Groups: | ||||||||||||||||||||||||||
| Environmental services related to resource recovery for metals manufacturing; and related logistical services | $ | 950,829 | $ | — | $ | — | $ | 950,829 | ||||||||||||||||||
| Ecoproducts | 50,816 | — | — | 50,816 | ||||||||||||||||||||||
| Environmental systems for aluminum dross and scrap processing | 17,766 | — | — | 17,766 | ||||||||||||||||||||||
Railway track maintenance equipment | — | — | 83,882 | 83,882 | ||||||||||||||||||||||
After market parts and services; safety and diagnostic technology | — | — | 101,516 | 101,516 | ||||||||||||||||||||||
Railway contracting services | — | — | 61,696 | 61,696 | ||||||||||||||||||||||
| Hazardous waste processing solutions | — | 824,244 | — | 824,244 | ||||||||||||||||||||||
| Soil and dredged materials processing and reuse solutions | — | 149,609 | — | 149,609 | ||||||||||||||||||||||
| Total Revenues | $ | 1,019,411 | $ | 973,853 | $ | 247,094 | $ | 2,240,358 | ||||||||||||||||||
| Year Ended December 31, 2024 | ||||||||||||||||||||||||||
| (In thousands) | Harsco Environmental | Clean Earth | Harsco Rail | Consolidated Totals | ||||||||||||||||||||||
Primary Geographical Markets (a): | ||||||||||||||||||||||||||
| North America | $ | 292,274 | $ | 940,337 | $ | 173,424 | $ | 1,406,035 | ||||||||||||||||||
| Western Europe | 425,775 | — | 84,398 | 510,173 | ||||||||||||||||||||||
Latin America (b) | 154,684 | — | 5,578 | 160,262 | ||||||||||||||||||||||
| Asia-Pacific | 117,523 | — | 27,888 | 145,411 | ||||||||||||||||||||||
| Middle East and Africa | 103,957 | — | — | 103,957 | ||||||||||||||||||||||
| Eastern Europe | 17,299 | — | — | 17,299 | ||||||||||||||||||||||
| Total Revenues | $ | 1,111,512 | $ | 940,337 | $ | 291,288 | $ | 2,343,137 | ||||||||||||||||||
| Key Product and Service Groups: | ||||||||||||||||||||||||||
| Environmental services related to resource recovery for metals manufacturing; and related logistical services | $ | 974,284 | $ | — | $ | — | $ | 974,284 | ||||||||||||||||||
| Ecoproducts | 113,800 | — | — | 113,800 | ||||||||||||||||||||||
| Environmental systems for aluminum dross and scrap processing | 23,428 | — | — | 23,428 | ||||||||||||||||||||||
Railway track maintenance equipment | — | — | 113,039 | 113,039 | ||||||||||||||||||||||
After market parts and services; safety and diagnostic technology | — | — | 117,327 | 117,327 | ||||||||||||||||||||||
Railway contracting services | — | — | 60,922 | 60,922 | ||||||||||||||||||||||
| Hazardous waste processing solutions | — | 778,894 | — | 778,894 | ||||||||||||||||||||||
| Soil and dredged materials processing and reuse solutions | — | 161,443 | — | 161,443 | ||||||||||||||||||||||
| Total Revenues | $ | 1,111,512 | $ | 940,337 | $ | 291,288 | $ | 2,343,137 | ||||||||||||||||||
| Year Ended December 31, 2023 | ||||||||||||||||||||||||||
| (In thousands) | Harsco Environmental | Clean Earth | Harsco Rail | Consolidated Totals | ||||||||||||||||||||||
Primary Geographical Markets (a): | ||||||||||||||||||||||||||
| North America | $ | 318,574 | $ | 927,457 | $ | 214,893 | $ | 1,460,924 | ||||||||||||||||||
| Western Europe | 431,893 | — | 57,301 | 489,194 | ||||||||||||||||||||||
Latin America (b) | 171,225 | — | 2,540 | 173,765 | ||||||||||||||||||||||
| Asia-Pacific | 113,800 | — | 22,061 | 135,861 | ||||||||||||||||||||||
| Middle East and Africa | 86,867 | — | — | 86,867 | ||||||||||||||||||||||
| Eastern Europe | 19,576 | — | — | 19,576 | ||||||||||||||||||||||
| Total Revenues | $ | 1,141,935 | $ | 927,457 | $ | 296,795 | $ | 2,366,187 | ||||||||||||||||||
| Key Product and Service Groups: | ||||||||||||||||||||||||||
| Environmental services related to resource recovery for metals manufacturing; and related logistical services | $ | 951,992 | $ | — | $ | — | $ | 951,992 | ||||||||||||||||||
| Ecoproducts | 162,291 | — | — | 162,291 | ||||||||||||||||||||||
| Environmental systems for aluminum dross and scrap processing | 27,652 | — | — | 27,652 | ||||||||||||||||||||||
| Railway track maintenance equipment | — | — | 128,155 | 128,155 | ||||||||||||||||||||||
| After market parts and services; safety and diagnostic technology | — | — | 121,039 | 121,039 | ||||||||||||||||||||||
| Railway contracting services | — | — | 47,601 | 47,601 | ||||||||||||||||||||||
| Hazardous waste processing solutions | — | 766,474 | — | 766,474 | ||||||||||||||||||||||
| Soil and dredged materials processing and reuse solutions | — | 160,983 | — | 160,983 | ||||||||||||||||||||||
| Total Revenues | $ | 1,141,935 | $ | 927,457 | $ | 296,795 | $ | 2,366,187 | ||||||||||||||||||
(a) Revenues are attributed to individual countries based on the location of the facility generating the revenue.
(b) Includes Mexico.
The Company may receive payments in advance of earning revenue (advances on contracts), which are included in Other current liabilities and Other liabilities on the Consolidated Balance Sheets. The Company may recognize revenue in advance of being able to contractually invoice the customer (contract assets), which is included in Other current assets on the Consolidated Balance Sheets. Contract assets are transferred to Trade accounts receivable, net, when the right to payment becomes unconditional. Contract assets and advances on contracts are reported as a net position, on a contract-by-contract basis, at the end of each reporting period.
The Company had contract assets totaling $69.1 million and $97.2 million at December 31, 2025 and 2024, respectively. The decrease is due principally to the transfer of contract assets to accounts receivable in excess of new advances. The Company had advances on contracts totaling $8.2 million and $23.9 million at December 31, 2025 and 2024, respectively. The decrease is due principally to recognition of revenue on previously received advances on contracts in excess of receipts of new advances on contracts during the period. During the year ended December 31, 2025, the Company recognized approximately $23.4 million of revenue related to amounts previously included in advances on contracts.
The table below represents the expected fulfillment year of Company's fixed, unsatisfied performance obligations, where the expected contract duration exceeds one year, by segment, and exclude any variable fees, fixed fees subject to indexation and any performance obligations expected to be satisfied within one year:
| (In thousands) | Harsco Environmental | Harsco Rail | ||||||||||||
| 2026 | $ | 17,343 | $ | 56,710 | ||||||||||
| 2027 | 15,986 | 39,083 | ||||||||||||
| 2028 | 14,058 | 6,616 | ||||||||||||
| 2029 | 4,866 | 3,375 | ||||||||||||
| 2030 | 3,277 | 3,375 | ||||||||||||
Thereafter | 3,132 | 9,562 | ||||||||||||
Total remaining performance obligations | $ | 58,662 | $ | 118,721 | ||||||||||
Rail is currently manufacturing highly-engineered equipment under large long-term fixed-price contracts with Network Rail, Deutsche Bahn, and SBB. The Company has previously recognized estimated forward loss provisions related to these contracts of $32.7 million and $32.8 million for the years ended 2024 and 2023 related to these contracts due to several factors, such as material and labor cost inflation, supply chain delays, the bankruptcy of key vendors, increased engineering efforts and challenges encountered with homologation and commissioning of equipment. These challenges carried into 2025 and the Company recorded an additional $30.3 million forward loss provision for these contracts for the year ended December 31, 2025, as discussed further below.
For the Network Rail contract, the Company recorded additional loss provisions of $11.3 million in the first half of 2025. This additional loss is primarily related to increased estimated manufacturing and material costs. For 2024, the Company recorded an additional forward loss provision adjustment of $16.1 million. This additional loss is primarily related to increased estimated liquidated damages due to delays in the estimated delivery of the machines and increased engineering and manufacturing costs primarily as a result of design changes.
For the Deutsche Bahn contract, the Company recorded additional loss provisions of $5.5 million during 2025, with $18.8 million recorded in the fourth quarter, related to challenges encountered with the homologation of the initial vehicles, resulting in higher estimated costs to complete all vehicles including redesign as well as additional estimated penalties due to the resulting project delays. In the first quarter, the Company recorded a net favorable adjustment of $13.3 million as a result of an amendment to the contract which included additional pricing, as well as an extension of the delivery schedule for the machines which resulted in a reduction of the previous estimate of penalties recorded as an increase to revenue, offset by higher estimated material, manufacturing and engineering costs. During 2024, additional estimated forward loss provisions of $14.4 million were recorded, related principally to unexpected supplier price increases, challenges with supplier quality on key components necessitating a switch to a different supplier and increased engineering efforts that exceeded previous estimates.
For the SBB contract, the Company recorded net additional loss provisions of $13.5 million during 2025, with $6.4 million recorded in the fourth quarter related principally to unanticipated costs identified during the prototype commissioning of the universal vehicles, as well as higher estimated manufacturing, assembly and logistic costs. For 2024, the Company recorded an additional estimated forward loss provision of $2.2 million related principally to increased estimates for assembly, storage and commissioning costs for the remaining vehicles due to project delays.
The estimated forward loss provisions represent the Company's best estimate based on currently available information. It is possible that the Company's overall estimate of liquidated damages, penalties and costs to complete these contracts may change, which could result in an additional estimated forward loss provision at such time that could be material. The Company will continue to update its estimates to complete these contracts, which will include the effect of negotiations with the customers regarding price increases, change orders and extensions to delivery schedules. To that extent, the Company is currently in discussions with Network Rail and has sent Network Rail a letter communicating the need to bring the negotiations to closure and summarizing various options, including a substantial revision of the contract’s economic terms or finding a mutually acceptable exit to this contract. If the Company were to exit this contract, it could result in a material loss in that period.
As of December 31, 2025, the contracts with Network Rail, Deutsche Bahn and SBB are 67%, 54% and 90% complete, respectively, based on costs incurred compared to the estimated costs to complete.
The Company provides assurance type warranties primarily for product sales at Rail. These warranties are typically not priced or negotiated separately (there is no option to separately purchase the warranty) or the warranty does not provide customers with a service in addition to the assurance that the product complies with agreed-upon specifications. Accordingly, such warranties do not represent separate performance obligations.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 24, 2026 | Showing above |
| 2024 | Feb 20, 2025 | |
| 2023 | Feb 29, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 25, 2021 | |
| 2019 | Feb 21, 2020 | |
| 2018 | Feb 21, 2019 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.