Revenue Analysis:
Total Revenue has shown variable trends over the periods with an increase from $3.58 billion in 2023-03-31 to $3.86 billion in 2024-03-31. Operating Revenue followed a similar trend, slightly differing in figures but increasing overall. Gross Profit also increased from $1.41 billion in 2023-03-31 to $1.58 billion in 2024-03-31, indicating a growth in efficiency or market conditions favoring RSG’s operations.
Cost Management:
The Cost of Revenue displayed fluctuations but generally trending upwards, noted at $2.14 billion in 2023-03-31 and peaking at $2.28 billion in 2023-09-30. Operating Expense and Total Expenses have similarly shown an upward trend. These patterns suggest escalating costs associated with revenue-generation activities, which warrant close monitoring to maintain profitability.
Profitability Analysis:
EBITDA remained robust over the years, starting around $1.08 billion in 2023-06-30 and achieving $1.16 billion by 2024-03-31. Operating Income and Pretax Income have also consistently increased, indicating effective control over operational and non-operational costs. Net Income has shown growth, moving from $383.9 million in 2023-03-31 to $453.8 million in 2024-03-31, thereby reflecting healthy profitability.
Cash Flow Indicators:
Reconciled Depreciation remained relatively stable, indicating consistent capital expenditure on assets. Interest Expense presents an upward trend—from $124.4 million in 2023-06-30 to $139.3 million in 2024-03-31—highlighting increased borrowing costs that may impact future cash flows.
Taxation:
The Tax Rate showed variations but was notably lower in 2023-12-31 at just 0.08946. Tax Provisions were substantially higher in periods like 2024-03-31, indicating a heightened tax obligation correlating with increased earnings. The Tax Effect of Unusual Items fluctuated, with some significant figures like $-1430422.44 in 2024-03-31 showing important tax planning implications related to these items.
Shareholder Metrics:
Diluted and Basic EPS showed a gradual increase, indicative of the company’s improved profitability and effective earnings distribution strategy. The number of Average Shares remained quite stable, suggesting no significant equity dilution or buyback activities during these periods. Net Income Available to Common Stockholders directly mirrored Net Income figures, supporting strong shareholder returns.
Conclusion:
RSG demonstrated a robust financial performance with growing revenues and net incomes. However, rising costs and interest expenses suggest areas that require careful management to sustain profitability. The company’s stable shareholder returns and strong EBITDA are positive indicators for continuing investment.
Appendices:
Data used in analyses include Total Revenue, Operating Revenue, Net Income, EBITDA, and EPS across reported periods. These indicators help in comprehensively understanding financial health and operational efficiency.