|Waste Management profits down 15% from previous year
Waste Management, Inc. announced financial results for its fourth quarter and for the year ended December 31, 2006. Revenues for the quarter were $3.28 billion compared with $3.37 billion in the year ago period. Net income for the quarter was $246 million, or $0.46 per diluted share, compared with $290 million, or $0.52 per diluted share, for the fourth quarter 2005.
For the full year 2006, the Company reported revenues of $13.36 billion compared with $13.07 billion in 2005. Net income for the year was $1.15 billion compared with $1.18 billion, or $2.09 per diluted share for the year 2005.
The Company noted several items that impacted the results in the current and prior years’ fourth quarters.
Excluding these items, net income would have been $252 million, or $0.47 per diluted share, in the fourth quarter of 2006 compared with $255 million, or $0.46 per diluted share, in the prior year quarter.
Income from operations as a percent of revenue, as adjusted for these items, increased 30 basis points to 15.4% in the current year’s quarter compared with the prior year’s quarter.
Results in the current quarter included:
After tax charges of $24 million for asset impairments and unusual items due principally to a charge which resulted from the resolution of a buyer’s claim regarding the value of assets sold in a year 2000 transaction and an asset impairment charge at a closed landfill; partially offset by gains from the divestiture of operations.
An $18 million benefit in net income resulting primarily from favorable income tax audit settlements and an adjustment to deferred tax liabilities resulting from the reduction of our effective state tax rate.