 - Financial results exceed forecast, with strong operating execution, real-time cost controls and disciplined cash flow management. RUTLAND, Vt., Aug. 03, 2020 GLOBE NEWSWIRE -- Casella Waste Systems, Inc. NASDAQ: CWST, a regional solid waste, recycling and resource management services company, today reported its financial results for the three and six month period ended June 30, 2020. The Company also reintroduced guidance for the fiscal year ending December 31, 2020 fiscal year 2020.Highlights for the Quarter and Year-To-Date Ended June 30, 2020: Revenues were 188.8 million for the quarter, up 1.3 million, or up 0.7, from the same period in 2019. Overall solid waste pricing for the quarter was up 4.4, with collection pricing up 4.3, and landfill pricing up 6.2, from the same period in 2019. Net income was 12.1 million for the quarter, up 0.2 million, or up 1.7, from the same period in 2019. Adjusted EBITDA, a non-GAAP measure, was 44.0 million for the quarter, up 3.6 million, or up 8.9, from the same period in 2019. Net cash provided by operating activities was 62.5 million for the year-to-date period, up 24.2 million, or up 63.4 from the same period in 2019. Adjusted Free Cash Flow formerly referred to as Normalized Free Cash Flow, a non-GAAP measure, was 27.5 million for the year-to-date period, up 22.1 million from the same period in 2019.The last several months have been a challenging time and I am extremely proud of our 2,500 dedicated employees, especially our frontline team members who have worked hard to effectively service our customers while meeting our high safety and environmental standards, said John W. Casella, Chairman and CEO of Casella Waste Systems, Inc. Our number one priority has been, and will continue to be, keeping our people and the communities where we operate safe and healthy. We are accomplishing this by strictly adhering to CDC recommendations and State executive orders, utilizing appropriate personal protective equipment, following exposure reduction plans for each frontline role, and increasing disinfectant procedures. We entered the COVID-19 crisis as a strong company - with an experienced and well balanced team, excellent culture and core values, a solid balance sheet with sufficient liquidity, robust cash flow generation, effective risk management programs, stable business processes, and consistent strategic execution, Casella said. As an essential service provider, we have continued to operate effectively through this period and have not experienced significant revenue declines, with approximately 85 of our revenues from stable recurring sources. During the second quarter we maintained our strict pricing discipline, generating 4.3 of price growth in the collection line-of-business and 6.2 of price at the landfills, Casella said. Solid waste volumes were down 12.4 in the quarter, as we experienced revenue declines in our commercial collection line-of-business as various commercial customers temporarily closed or reduced services; in our roll-off collection line-of-business as many construction projects were temporarily halted or industrial customers reduced services; and in our disposal line-of-business due to lower economic and construction activity across our markets.Despite these volume headwinds and roughly 1.6 million of COVID-19 specific costs during the second quarter, we increased Adjusted EBITDA by 3.6 million and improved margins in the quarter, Casella said. This improvement was mainly due to our rapid flexing of variable costs such as labor, overtime and certain general administrative costs; lower operating costs due to COVID-19 specific conditions; advancing pricing in excess of inflation; and the roll-over impact of acquisitions completed in the last 12 months. In addition, we continued to execute well in the quarter against the long-term strategies specified in our 2021 plan, Casella said. Specifically, we made substantial progress against our strategic growth initiative, by acquiring six businesses with approximately 16.1 million of annualized revenues through July 2020, Casella said. Our acquisition pipeline remains robust and we believe that there is substantial opportunity to drive additional cash flow growth across our footprint. Effective January 1, 2020, we completed the realignment of our recycling, organics and customer solutions groups into the newly formed Resource Solutions segment, Casella said. This is an important long-term strategic move to ensure that our resource-oriented teams are well aligned as they help customers achieve their sustainability goals. During the second quarter our team did a great job accelerating our mid-term plans to leverage cost synergies across operations, sales and the back-office. For the quarter, revenues were 188.8 million, up 1.3 million, or up 0.7 from the same period in 2019, with revenue growth mainly driven by: positive collection and disposal pricing; the roll-over impact from acquisitions; higher resource solutions volumes; higher recycling commodity prices and tipping fees; partially offset by lower solid waste volumes primarily due to the negative economic impacts of the COVID-19 pandemic.Net income was 12.1 million for the quarter, or 0.25 per diluted common share for the quarter, up 0.2 million, or up 1.7, as compared to net income of 11.9 million, or 0.25 per diluted common share, for the same period in 2019. The quarter included a 0.4 million income tax provision, 0.4 million of expense from acquisition activities and 0.6 million of legal and other expenses associated with the Southbridge Landfill closure. The same quarter last year included a 1.9 million income tax benefit, 0.5 million of expense from acquisition activities and 0.9 million of legal and other costs associated with the Southbridge Landfill closure. Operating income was 17.4 million for the quarter, up 1.9 million, or up 12.2 from the same period in 2019. Adjusted EBITDA was 44.0 million for the quarter, up 3.6 million, or up 8.9 from the same period in 2019. For the year-to-date period, revenues were 371.7 million, up 20.6 million, or up 5.9 from the same period in 2019, with revenue growth mainly driven by: positive collection and disposal pricing; the roll-over impact from acquisitions; higher resource solutions volumes; and higher recycling tipping fees; partially offset by lower solid waste volumes primarily due to the COVID-19 pandemic and lower recycling commodity prices.Net income was 13.1 million year-to-date, or 0.27 per diluted common share year-to-date, up 2.9 million, or up 28.1, as compared to net income of 10.2 million, or 0.22 per diluted common share for the same period in 2019. Operating income was 24.5 million year-to-date, up 4.5 million, or up 22.4 from the same period in 2019. Adjusted EBITDA was 77.5 million year-to-date, up 10.5 million, or up 15.6 from the same period in 2019. 2020 OutlookGiven our strong execution flexing variable costs and driving operating efficiencies during the second quarter, combined with increased visibility of the negative volume and cost impacts of the COVID-19 pandemic, we are reintroducing financial guidance ranges for fiscal year 2020, Casella said. There are still many variables outside of our control, such as new waves of COVID-19, additional stay-at-home orders and impacts on the economy as the Federal stimulus programs run their course. Our guidance ranges assume a stable to modestly improving economic environment for the remainder of the year, Casella said. And the guidance ranges do not contemplate a severe relapse of the COVID-19 pandemic or new stay-at-home orders shutting down commercial and economic activity again through the remainder of 2020 in our markets.We experienced a rapid recovery in business activity from late April through mid-June as the stay-at-home orders were first lifted, however this rebound has flattened through July and we do not expect our normal seasonal business uptick from the second to third quarter, Casella said. Further, we expect certain operating expenses to increase through the remainder of the year, such as higher container weights in the commercial line-of-business, lower operating efficiencies due to traffic increases, and higher fuel costs.The Company provided guidance for fiscal year 2020 by estimating results in the following ranges: Revenues between 755 million and 770 million as compared to 743.3 million in the fiscal year ended December 31, 2019 fiscal year 2019; Net income between 23 million and 28 million as compared to 31.7 million in fiscal year 2019; Adjusted EBITDA between 158 million and 163 million as compared to 156.5 million in fiscal year 2019; Net cash provided by operating activities between 122 million and 126 million as compared to 116.8 million in fiscal year 2019; and Adjusted Free Cash Flow between 53 million and 57 million as compared to 55.5 million in fiscal year 2019.Adjusted EBITDA and Adjusted Free Cash Flow related to fiscal year 2020 are described in the Reconciliation of 2020 Outlook Non-GAAP Measures section of this press release. Net income and Net cash provided by operating activities are provided as the most directly comparable GAAP measures to Adjusted EBITDA and Adjusted Free Cash Flow, respectively, however these forward-looking estimates for fiscal year 2020 do not contemplate any unanticipated impacts. 