Clean Harbors, Inc.
(“Clean Harbors”) (NYSE: CLH), the leading provider of environmental, energy and industrial services throughout North America,
today announced financial results for the second quarter ended June 30, 2012.
Revenues for the second quarter grew 17% to $523.1 million from $447.2 million in the same period in 2011, reflecting a combination of organic growth and contributions from 2011 acquisitions. For the first six months of 2012, revenue grew 24% to $1.1 billion from $882.2 million in the same period in 2011. Income from operations in the second quarter of 2012 decreased to $47.5 million from $51.9 million in the same period of 2011 primarily based on a 44% increase in depreciation and amortization mostly related to the acquisitions completed in 2011. For the first six months of 2012, income from operations increased 19% to $109.2 million from $91.6 million in the first six months of 2011.
Second quarter 2012 net income was $23.4 million, or $0.44 per diluted share, compared with $29.2 million, or $0.55 per diluted share, in the second quarter of 2011. The effective tax rate in the second quarter of 2012 was 35.8% compared with 33.9% in the same period of last year. The second quarter of 2011 also included a $2.9 million pre-tax benefit related to the disposition of marketable securities. Net income for the first six months of 2012 increased to $55.4 million, or $1.04 per diluted share, compared with $51.9 million, or $0.97 per diluted share.
EBITDA (see description below) increased 9% to $88.7 million in the second quarter of 2012 compared with $81.2 million in the same period of 2011. For the first six months of 2012, EBITDA grew 27% to $189.6 million from $148.8 million in the same period of 2011.
Comments on the Second Quarter
“Our Environmental and Industrial businesses delivered strong results in the second quarter while our Energy business was affected by the seasonal slowdown due to the Spring break-up in Western Canada and the extended wet weather conditions in the quarter. In the U.S., with the depressed natural gas prices, the Company focused on the repositioning of its solids control assets and rental equipment toward liquid rich gas and oil plays,” said Alan S. McKim, Chairman and Chief Executive Officer. “We view the slowdown in the U.S. Energy business as temporary and expect to be fully utilized again by the fourth quarter. Therefore, we are reiterating our 2012 guidance and we believe that growth across our business lines in the second half will enable us to achieve our full-year financial targets.”