Waste Connections, Inc. Segments Disclosure
17. SEGMENT REPORTING
The Company’s revenues are generated primarily from the collection, transfer, recycling and disposal of non-hazardous solid waste and the treatment, recovery and disposal of non-hazardous E&P waste. No single contract or customer accounted for more than 10% of the Company’s total revenues at the consolidated or reportable segment level during the periods presented.
The Company manages its operations through the following six geographic solid waste operating segments: Southern, Western, Eastern, Central, Canada and MidSouth. The Company’s six geographic solid waste operating segments comprise its reportable segments. Each operating segment is responsible for managing several vertically integrated operations, which are comprised of districts. Certain corporate or regional overhead expense allocations may affect comparability of the segment information presented herein on a period-over-period basis.
The Company’s Chief Operating Decision Maker (“CODM”) is the . The CODM evaluates operating segment profitability and determines resource allocations based on several factors, of which the primary financial measure is segment EBITDA. The Company defines segment EBITDA as earnings before interest, taxes, depreciation, amortization, impairments and other operating items and other income (expense). Segment EBITDA is not a measure of operating income, operating performance or liquidity under GAAP and may not be comparable to similarly titled measures reported by other companies. The Company’s management uses segment EBITDA in the evaluation of segment operating performance as it is a profit measure that is generally within the control of the operating segments.
Summarized financial information concerning the Company’s reportable segments for the years ended December 31, 2025, 2024 and 2023, including a reconciliation of segment EBITDA to Income before income tax provision, is shown in the following tables:
Year Ended | |||||||||||||||||||||||||
December 31, 2025 | | Southern | | Western | | Eastern | | Central | | Canada | | MidSouth | | Corporate (a), (f) | | Consolidated |
| ||||||||
Revenue | $ | 2,146,478 | $ | 2,111,672 | $ | 2,049,734 | $ | 1,783,274 | $ | 1,461,895 | $ | 1,302,866 | $ | — | $ | 10,855,919 | |||||||||
Intercompany revenue (b) | (238,669) | (262,253) | (347,487) | (193,389) | (137,018) | (210,188) | — | (1,389,004) | |||||||||||||||||
Reported revenue |
| 1,907,809 | 1,849,419 | 1,702,247 | 1,589,885 | 1,324,877 | 1,092,678 | — |
| 9,466,915 | |||||||||||||||
Segment expenses (c) | (1,275,413) | (1,336,182) | (1,250,493) | (1,015,023) | (726,628) | (786,599) | (24,588) | (6,414,926) | |||||||||||||||||
Segment EBITDA (d) |
| 632,396 | 513,237 | 451,754 | 574,862 | 598,249 | 306,079 | (24,588) |
| 3,051,989 | |||||||||||||||
Segment EBITDA margin |
| 33.1 | % | 27.8 | % | 26.5 | % | 36.2 | % | 45.2 | % | 28.0 | % |
| 32.2 | % | |||||||||
Depreciation and amortization | (243,697) | (214,829) | (235,110) | (179,093) | (198,531) | (148,130) | (12,716) | (1,232,106) | |||||||||||||||||
Other segment items (e) | (100,383) | 6,943 | (105) | (411) | (217) | (1,001) | (306,793) | (401,967) | |||||||||||||||||
Income before income tax provision | $ | 1,417,916 | |||||||||||||||||||||||
Capital expenditures | $ | 216,175 | $ | 212,754 | $ | 222,442 | $ | 217,298 | $ | 145,940 | $ | 143,077 | $ | 36,680 | $ | 1,194,366 | |||||||||
Total assets (g) | $ | 4,537,419 | $ | 3,565,600 | $ | 3,777,611 | $ | 2,922,791 | $ | 3,730,214 | $ | 2,051,747 | $ | 543,981 | $ | 21,129,363 | |||||||||
Year Ended | |||||||||||||||||||||||||
December 31, 2024 | | Southern | | Western | | Eastern | | Central | | Canada | | MidSouth | | Corporate (a), (f) | | Consolidated |
| ||||||||
Revenue | $ | 1,984,150 | $ | 2,034,370 | $ | 1,875,559 | $ | 1,696,559 | $ | 1,385,869 | $ | 1,218,482 | $ | — | $ | 10,194,989 | |||||||||
Intercompany revenue (b) | (226,957) | (235,701) | (311,348) | (181,657) | (124,889) | (194,846) | — | (1,275,398) | |||||||||||||||||
Reported revenue |
| 1,757,193 | 1,798,669 | 1,564,211 | 1,514,902 | 1,260,980 | 1,023,636 | — |
| 8,919,591 | |||||||||||||||
Segment expenses (c) | (1,200,768) | (1,277,911) | (1,146,988) | (972,101) | (709,501) | (740,227) | (27,655) | (6,075,151) | |||||||||||||||||
Segment EBITDA (d) |
| 556,425 | 520,758 | 417,223 | 542,801 | 551,479 | 283,409 | (27,655) |
| 2,844,440 | |||||||||||||||
Segment EBITDA margin |
| 31.7 | % | 29.0 | % | 26.7 | % | 35.8 | % | 43.7 | % | 27.7 | % |
| 31.9 | % | |||||||||
Depreciation and amortization | (203,445) | (211,111) | (230,466) | (170,424) | (200,274) | (138,671) | (9,378) | (1,163,769) | |||||||||||||||||
Other segment items (e) | (9,395) | (596,463) | (4,398) | 1,483 | 944 | (33) | (309,876) | (917,738) | |||||||||||||||||
Income before income tax provision | $ | 762,933 | |||||||||||||||||||||||
Capital expenditures | $ | 190,912 | $ | 198,849 | $ | 191,817 | $ | 174,805 | $ | 147,596 | $ | 129,373 | $ | 22,636 | $ | 1,055,988 | |||||||||
Total assets (g) | $ | 3,885,522 | $ | 3,512,253 | $ | 3,544,234 | $ | 2,827,108 | $ | 3,564,052 | $ | 2,022,594 | $ | 462,046 | $ | 19,817,809 | |||||||||
Year Ended | |||||||||||||||||||||||||
December 31, 2023 | | Southern | | Western | | Eastern | | Central | | Canada | | MidSouth | | Corporate (a), (f) | | Consolidated |
| ||||||||
Revenue | $ | 1,846,713 | $ | 1,878,843 | $ | 1,639,351 | $ | 1,620,908 | $ | 1,109,164 | $ | 1,072,753 | $ | — | $ | 9,167,732 | |||||||||
Intercompany revenue (b) | (204,439) | (209,554) | (259,118) | (180,751) | (113,322) | (178,597) | — | (1,145,781) | |||||||||||||||||
Reported revenue |
| 1,642,274 | 1,669,289 | 1,380,233 | 1,440,157 | 995,842 | 894,156 | — |
| 8,021,951 | |||||||||||||||
Segment expenses (c) | (1,124,272) | (1,186,084) | (1,027,172) | (927,874) | (605,178) | (648,020) | (25,032) | (5,543,632) | |||||||||||||||||
Segment EBITDA (d) |
| 518,002 | 483,205 | 353,061 | 512,283 | 390,664 | 246,136 | (25,032) |
| 2,478,319 | |||||||||||||||
Segment EBITDA margin |
| 31.5 | % | 28.9 | % | 25.6 | % | 35.6 | % | 39.2 | % | 27.5 | % |
| 30.9 | % | |||||||||
Depreciation and amortization | (179,948) | (199,426) | (207,909) | (169,370) | (121,326) | (117,397) | (7,835) | (1,003,211) | |||||||||||||||||
Other segment items (e) | (11,165) | (160,351) | (2,492) | 6,763 | (2,930) | 3,783 | (325,215) | (491,607) | |||||||||||||||||
Income before income tax provision | $ | 983,501 | |||||||||||||||||||||||
Capital expenditures | $ | 166,961 | $ | 192,148 | $ | 143,484 | $ | 171,748 | $ | 105,453 | $ | 135,650 | $ | 18,556 | $ | 934,000 | |||||||||
Total assets (g) | $ | 3,501,953 | $ | 3,432,529 | $ | 3,228,244 | $ | 2,811,016 | $ | 2,794,795 | $ | 1,705,180 | $ | 442,159 | $ | 17,915,876 | |||||||||
| (a) | The majority of Corporate expenses are allocated to the six operating segments. Direct acquisition expenses, expenses associated with common shares held in the deferred compensation plan exchanged for other investment options and share-based compensation expenses associated with Progressive Waste share-based grants outstanding at June 1, 2016 that were continued by the Company are not allocated to the six operating segments and comprise the net EBITDA of the Company’s Corporate segment for the periods presented. |
| (b) | Intercompany revenues reflect each segment’s total intercompany sales, including intercompany sales within a segment and between segments. Transactions within and between segments are generally made on a basis intended to reflect the market value of the service. |
| (c) | Segment expenses consist of all expenses that directly impact the CODM's primary financial measure, segment EBITDA. These expenses include cost of operations and selling, general, and administrative expenses as presented in the Company’s consolidated statements of operations. |
| (d) | For those items included in the determination of segment EBITDA, the accounting policies of the segments are the same as those described in Note 3. |
(e) | For all geographic operating segments, other segment items consist of gains and losses on disposal of assets, disposal of operations and foreign currency, as well as litigation settlements, environmental remediation, real estate leases, landfill closure adjustments, contingent liability adjustments, impairments and interest income. See Note 3 for more information relating to landfill closure adjustments and impairments recorded in the Western segment during the years ended December 31, 2023 and 2024 from the Company’s decision to cease active waste disposal operations at its Chiquita Canyon Landfill at December 31, 2024. |
(f) | Corporate assets include cash, debt issuance costs, equity investments, operating lease right-of-use assets and corporate facility leasehold improvements and equipment. |
(g) | Goodwill is included within total assets for each of the Company’s six operating segments. |
The following table shows changes in goodwill during the years ended December 31, 2024 and 2025, by reportable segment:
| Southern | | Western | | Eastern | | Central | | Canada | | MidSouth | | Total | ||||||||
Balance as of December 31, 2023 | $ | 1,559,703 | $ | 779,455 | $ | 1,587,491 | $ | 1,008,500 | $ | 1,723,068 | $ | 746,183 | $ | 7,404,400 | |||||||
Goodwill acquired |
| 17,411 | 85,147 | 148,093 | 2,074 | 343,531 | 103,258 |
| 699,514 | ||||||||||||
Impact of changes in foreign currency |
| — | — | — | — | (153,508) | — |
| (153,508) | ||||||||||||
Balance as of December 31, 2024 | 1,577,114 | 864,602 | 1,735,584 | 1,010,574 | 1,913,091 | 849,441 | 7,950,406 | ||||||||||||||
Goodwill acquired |
| 256,632 | 2,008 | 55,579 | 12,537 | 13,600 | 6,248 |
| 346,604 | ||||||||||||
Impact of changes in foreign currency |
| — |
| — |
| — |
| — |
| 95,239 |
| — |
| 95,239 | |||||||
Balance as of December 31, 2025 | $ | 1,833,746 | $ | 866,610 | $ | 1,791,163 | $ | 1,023,111 | $ | 2,021,930 | $ | 855,689 | $ | 8,392,249 | |||||||
Property and equipment, net relating to operations in the United States and Canada are as follows:
December 31, | ||||||
| 2025 | | 2024 | |||
United States | $ | 7,484,637 | $ | 6,870,901 | ||
Canada |
| 1,248,690 |
| 1,165,028 | ||
Total | $ | 8,733,327 | $ | 8,035,929 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 12, 2026 | Showing above |
| 2024 | Feb 13, 2025 | |
| 2023 | Feb 14, 2024 | |
| 2022 | Feb 16, 2023 | |
| 2021 | Feb 17, 2022 | |
| 2020 | Feb 18, 2021 | |
| 2019 | Feb 13, 2020 | |
| 2018 | Feb 14, 2019 | |
| 2017 | Feb 15, 2018 | |
| 2016 | Feb 27, 2017 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.