Radioactive and hazardous waste services company US Ecology reported third-quarter net income of $6.3 million, or $0.20 per diluted share, compared with net income of $13.1 million or $0.59 per diluted share in the same quarter a year ago.
Adjusted earnings per share were $0.25 cents per share, down from $0.75 in the same quarter last year. The adjustment reflects the dilutive effect of additional shares issued with the company’s 2019 acquisition of NRC Group. US Ecology shares have decreased 41% since the start of the year, according to Zacks analysts.
U.S. Ecology’s environmental services revenue was $112.4 million, down 8% from the same period last year. Without a $5.1 million NRC contribution made in the third quarter of this year, the branch’s revenue decreased 12% due to a 10% decline in treatment and disposal revenue and a 24% decline in transportation revenue compared with the third quarter of 2019, according to company statements.
Third-quarter revenue in the company’s field and industrial services segment was $125.7 million, up compared to $45.2 million in the same quarter last year. The segment received a $75.8 million contribution from NRC this quarter. Without that contribution, revenue in the segment jumped 10% compared with last quarter.
“We believe a service based recovery is the first indication of business condition improvement for the supporting industrial production metrics have continued to strengthen through October, and are now at levels we have not seen for many years,” said Eric Gerratt, the company’s Executive Vice President, Chief Financial Officer and Treasurer. “This is encouraging and makes us optimistic we will see, improving based business conditions on the coming.”
