Company: CLH
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0000822818-25-000030
Chunk: 131

Company: CLEAN HARBORS INC
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 2
Chunk 131
---
 from lower volumes sold and, to a lesser extent, lower pricing, and revenues from contract packaging services decreased $6.5 million from the same period in 2024. These decreases were partially offset by a $10.8 million increase in revenue from the collection of used oil as we increased the price we charge for these collection services starting in late 2024 and throughout 2025.

26

Table of Contents

In the six months ended June 30, 2025, SKSS direct revenues decreased $26.9 million compared to the same period in 2024. Revenues from the sale of base and blended oil products decreased $38.6 million and $19.2 million, respectively, resulting from lower volumes sold and, to a lesser extent, lower pricing, and revenues from contract packaging services decreased $10.3 million from the same period in 2024. These decreases were partially offset by a $19.3 million increase in revenues from vacuum gas oil and specialty refinery products, driven by the acquisition of Noble in March 2024, and a $16.7 million increase in revenue from the collection of used oil attributed to the higher pricing for these collection services noted above. Direct revenues for Canadian operations of the SKSS segment decreased by $1.9 million due to foreign currency translation.

Cost of Revenues 

We believe that management of operating costs is vital to our ability to remain price competitive. We continue to experience inflationary pressures across several cost categories, but most notably related to internal and external labor, transportation, maintenance and energy related costs. We are also subject to uncertainties and cost increases due to the changing regulatory landscape, including trade restrictions and tariffs. We aim to manage these increases through constant cost monitoring and a focus on cost savings areas, including lowering employee turnover, as well as our overall customer pricing strategies designed to offset the inflationary impacts on our margins.

We continue to upgrade the quality and efficiency of our services through the development of new technology and continued modifications and expansion at our facilities while also leveraging certain fixed costs of our operating infrastructure. We invest in new business opportunities and aggressively implement strategic sourcing and logistics solutions, while also continuing to optimize our management and operating structure in an effort to manage our operating margins.

Environmental ServicesThree Months EndedSix Months EndedJune 30,2025 over 2024June 30,2025 over 2024(in thousands, except percentages)20252024Change% Change20252024Change% ChangeCost of revenues$880,871$853,705$