Republic Services, Inc.

This is our first report on environmental services player, Republic Services. The company has had a decent start to 2022 delivering EBITDA and revenue growth and showed an increase in the generated adjusted earnings. The management has invested more than $900 million in acquisitions that increased free cash flow and enhanced the market position of the company. Its acquisition of ACV Enviro has been completed. Among major developments, Republic Services entered into a joint venture with Archaea Energy Inc. to develop 39 RNG projects over the U.S. Moreover, the acquisitions of the pipeline are strong with opportunities in the environmental solutions, solid waste, and recycling business. It continues to give importance to customer zeal for driving profitable growth. The outlook for acquisition and organic growth for the remainder of 2022 is positive. Also, Republic Services continues to realize the advantages of its investments in technology. Recently, a solar project has been opened on the closed landfills of the company in Belleville, Illinois. We initiate coverage on the company with a ‘Hold’ rating.