Latest news with #HarscoEnvironmental
Yahoo
15-05-2025
- Business
- Yahoo
NVRI Q1 Earnings Call: Clean Earth Delivers, Steel Headwinds Persist, Rail Risk Reduced
Steel and waste handling company Enviri (NYSE:NVRI) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 8.7% year on year to $548.3 million. Its non-GAAP loss of $0.15 per share was 29.7% above analysts' consensus estimates. Is now the time to buy NVRI? Find out in our full research report (it's free). Revenue: $548.3 million vs analyst estimates of $560.1 million (8.7% year-on-year decline, 2.1% miss) Adjusted EPS: -$0.15 vs analyst estimates of -$0.21 (29.7% beat) Adjusted EBITDA: $66.94 million vs analyst estimates of $60.8 million (12.2% margin, 10.1% beat) Management lowered its full-year Adjusted EPS guidance to -$0.23 at the midpoint, a 73.1% decrease EBITDA guidance for the full year is $315 million at the midpoint, above analyst estimates of $310.9 million Operating Margin: 5.5%, in line with the same quarter last year Free Cash Flow was -$15.02 million compared to -$25.53 million in the same quarter last year Market Capitalization: $610.2 million Enviri's first quarter results reflected mixed dynamics across its segments, as management highlighted Clean Earth's margin expansion and operational resilience amid challenging market conditions. CEO Nick Grasberger pointed to Clean Earth's 'record first quarter results,' crediting both volume and price improvements, while Harsco Environmental faced ongoing steel market headwinds, and the Rail segment remained pressured by legacy contracts. Management also described the completion of a major contract renegotiation in Rail as a critical risk-reduction milestone, with new leadership appointments expected to further stabilize operations. Looking ahead, Enviri's full-year guidance is shaped by expectations of continued momentum in Clean Earth and stable performance in Harsco Environmental, despite global trade uncertainties and steel industry overcapacity. Grasberger cautioned that 'macroeconomic uncertainty driven by the ongoing global trade issues' could slow demand, but the company does not anticipate material direct impacts from new tariffs. Management is focused on operational efficiency, cash flow improvement, and executing IT initiatives in Clean Earth to drive future margin gains. Enviri's leadership discussed the divergent performance of its business units, with Clean Earth's operational improvements standing out. The Rail segment's contract renegotiation is expected to reduce ongoing financial risk, while steel market challenges continue to weigh on Harsco Environmental. Clean Earth Margin Expansion: Clean Earth achieved over 100 basis points of margin growth, driven by balanced price and volume increases, and ongoing operational efficiencies, particularly through routing and disposal optimization. Steel Market Pressures: Harsco Environmental continued to face excess capacity and subdued demand in the global steel sector. Management noted that recent EU actions to support local steelmakers could be beneficial, but an improvement in customer volumes has yet to materialize. Rail Contract Amendment: The renegotiation of a major engineered-to-order (ETO) contract with Deutsche Bahn resulted in higher contract revenue and a more realistic delivery schedule, reducing future penalty risk and improving segment outlook. IT and Productivity Initiatives: The rollout of the 'One Clean Earth' IT platform is expected to drive further efficiency gains and margin improvements, with management expressing optimism about additional cost-saving opportunities ahead. Leadership Team Renewal: The appointment of a new President and CFO for the Rail segment is intended to address operational bottlenecks and supply chain management, supporting a turnaround in that business unit. Management's outlook for the remainder of the year centers on Clean Earth's growth, operational improvements, and mitigating macroeconomic risks from global trade and steel overcapacity. Clean Earth Volume and IT Gains: Management expects Clean Earth's growth to be increasingly driven by volume improvements and productivity gains from the One Clean Earth IT initiative, supporting margin expansion. Steel Demand Uncertainty: Persistently weak global steel demand and ongoing capacity issues remain a risk for Harsco Environmental, though recent trade measures in Europe and a weaker U.S. dollar could provide some relief. Rail Recovery Path: Successful execution of amended ETO contracts, combined with new leadership and operational improvements, is critical to stabilizing Rail's performance and reducing its drag on consolidated cash flow. Larry Solow (CJS Securities): Asked about the impact of tariffs and steel demand on Harsco Environmental; management emphasized currency benefits and efficiency programs to offset site closures, while noting steel volumes are expected to remain flat in the near term. Larry Solow (CJS Securities): Inquired about Clean Earth's volume outlook; CEO Nick Grasberger highlighted visibility into second-quarter volume growth and the importance of IT-driven efficiencies, while acknowledging no signs yet of economic slowdown. Rob Brown (Lake Street Capital Markets): Sought details on the remaining risks in the Deutsche Bahn ETO contract; CFO Tom Vadaketh explained that risks are now mainly tied to successful product testing and homologation later this year. Rob Brown (Lake Street Capital Markets): Questioned the sustainability of Clean Earth's margin expansion; management stated that margin gains are broad-based and ongoing, with IT initiatives expected to drive further improvements. Davis Baynton (BMO Capital Markets): Asked about steel market capacity and underlying demand trends; management reiterated that volume growth is limited but expects a stronger second half from new site ramp-ups and operational initiatives. In the coming quarters, the StockStory team will monitor (1) Clean Earth's ability to sustain margin and volume growth as IT initiatives roll out, (2) any tangible recovery in global steel demand that could lift Harsco Environmental's volumes, and (3) the effectiveness of new Rail leadership and contract risk mitigation strategies. Progress in these areas, alongside macroeconomic conditions and potential shifts in trade policy, will be key to assessing Enviri's execution against its strategic goals. Enviri currently trades at a forward EV-to-EBITDA ratio of 2.4×. In the wake of earnings, is it a buy or sell? The answer lies in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. 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Yahoo
13-03-2025
- Business
- Yahoo
Harsco Environmental Opens First SteelPhalt™ Plant Outside the UK
Located in Murga, Basque Country, Spain, the new plant will offer environmental asphalt solutions to the region SteelPhalt™ offers a true circular economy route for byproducts of the steel industry, offering high-quality asphalt without the use of natural aggregates ROTHERHAM, United Kingdom, March 13, 2025 (GLOBE NEWSWIRE) -- Harsco Environmental, a division of Enviri Corporation (NYSE: NVRI) and renowned global market leader in delivering innovative environmental solutions, today announced the opening of a new, state-of-the-art SteelPhalt plant in Murga, Basque Country, Spain. The plant is slated to host a grand opening event on March 19, 2025. This significant development marks SteelPhalt's first permanent asphalt plant outside of the United Kingdom, reinforcing the business unit's commitment to expanding its footprint globally and advancing sustainable practices in the asphalt industry. With the inauguration of its plant in the Basque Country, SteelPhalt is poised to revolutionize the local asphalt market by offering environmentally friendly and superior-quality asphalt solutions. This new plant will contribute to meeting the region's environmental goals outlined in the Basque Country Waste Prevention and Management Plan 2030 and the Basque Country Circular Economy Strategy 2030. 'This advanced plant underscores our commitment to delivering sustainable solutions while focusing on the evolving needs of our regional customers,' said Director of Harsco Environmental's ecoproducts™ Europe division, Martin Gray. 'This plant symbolizes far more than a mere milestone; it's a profound testament to our dedication to growth, sustainability, and global impact.' The plant, situated in a highly industrial area, is designed to process more than 195,000 tons of slag per year, controlling the process from beginning to end. This allows for the production of more than 200,000 tons of sustainable asphalt products per year for regional roads while entering a steel byproduct into a valuable, perpetually recyclable product stream. 'I am honored to contribute to this groundbreaking project, which showcases innovation and addresses critical environmental challenges, providing an outstanding solution for the steel and asphalt industry,' said Operations Director at SteelPhalt, Mikel Barandalla. 'We're thrilled to expand our business by producing high-performance asphalt, effectively reducing the carbon footprint of road construction materials by up to 50%.' Harsco Environmental and its parent company, Enviri, remain steadfast in their mission to drive positive environmental change through innovative solutions. The inauguration of SteelPhalt's new plant is a testament to this commitment. Enviri continues to lead the way in promoting sustainability and advancing environmental stewardship worldwide by leveraging its expertise and cutting-edge technology. About SteelPhalt SteelPhalt, a Harsco Environmental company, has been making roads safer by developing and manufacturing high-performance asphalt products for roadmaking in the UK industry since the 1960s. Based in Rotherham, South Yorkshire, SteelPhalt is ideally located to source slag cost-effectively from the surrounding steel industry to sustainably create asphalt. With a reputation for first-class products matched by a commitment to innovation and sustainability, SteelPhalt works in partnership with councils, local authorities, and contractors nationwide to deliver durable roads for a sustainable world. Visit to learn more. About Harsco Environmental Enviri's Harsco Environmental division is the largest and most comprehensive provider of onsite material processing and environmental services to the global metals industry, with operations at over 130 customer sites across more than 32 countries. Harsco Environmental is a technology partner delivering cleaner, more efficient metal production, providing customers with economically and environmentally viable solutions for the treatment and reuse of production co-products. Visit to learn more. Investor ContactDavid Martin+1.267.946.1407dmartin@ Media ContactKaren Tognarelli+1.717.480.6145ktognarelli@ Sign in to access your portfolio
