Dive Brief:
- Phoenix, AZ-based Republic Services has announced its 2016 Q1 earnings, reporting a net income of $156.7 million, compared to $172.4 million in the same period of 2015. Excluding some expenses, the adjusted 2016 Q1 income is reported as $167.3 million.
- The company also announced it now has approximately $325 million in annual revenue "that uses a waste-related index for the annual price adjustment," according to President and CEO Donald Slager.
- Republic showed an enhancement in operational initiatives in Q1, including increasing its MyResource customer portal enrollment to 1.4 million customers. Republic also announced an increase in fleet-based initiatives: 16% of its fleet is now running on CNG (up from 15% in 2015), and 73% of its residential fleet is now automated (up from 69% in 2015).
Dive Insight:
Despite a slight dip in net income, Slager explained that a boost in both internal and external operations will end up paying off.
"We completed our organizational realignment during the first quarter, which reduces costs and enables our local teams to be more nimble and effective in serving our customers," he explained in the earnings call. "Additionally, we recently opened our first Customer Resource Center, which further enhances our customers' experience through dedicated customer service representatives, improved technology and additional communication channels."
Moving forward in 2016, Republic plans to open two more Customer Resource Centers, one in Fishers, IN and one in its hometown of Phoenix, AZ. By focusing on improving its internal operations and relationships with customers, Republic should see a boost in both loyalty and customer satisfaction with the business.
"We continue to effectively execute against our plan, leaving us well-positioned to achieve our full year goals," said Slager.
