Quest Resource Holding Corporation Q4 2025 Earnings Call Insights
- Financial Performance Review: Quest Resource Holding Corporation reported Q4 2025 revenue of $58.9 million, reflecting a 16% year-over-year decline and a 7% sequential decrease, primarily due to weakness in the industrial market and the divestiture of its mall-related business, resulting in a $10.7 million reduction compared to the prior year.
- Cost Control Effectiveness: The company's SG&A expenses for Q4 were $7.7 million, representing a 24% year-over-year reduction and a 17% sequential decrease, driven by headcount reductions and cost control measures, with an anticipated annual savings of approximately $400,000 in 2026 from a new office sublease.
- Cash Flow and Debt Management: Free cash flow for Q4 was $1.7 million, with $1 million in cash on hand and $37.7 million in available borrowing capacity at year-end, alongside a $2 million debt repayment during the quarter, bringing total debt reduction for the year to $13.2 million, indicating strong financial health.
- Cautious Future Outlook: Management anticipates continued margin pressure in 2026, although they expect to mitigate this through optimizing service levels and expanding wallet share with existing clients, while remaining vigilant about ongoing softness in the industrial market and elongated sales cycles.
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- Disappointing Earnings: Quest Resource reported a Q4 GAAP EPS of -$0.73, missing expectations by $0.65, indicating a significant decline in profitability that could undermine investor confidence.
- Revenue Decline: The company generated $58.9 million in revenue, a 15.8% year-over-year decrease that fell short of expectations, reflecting weak market demand and intensified competition, which may hinder future growth.
- Gross Margin Erosion: Gross profit was $42.5 million, a 14.9% decrease compared to the same period in 2024, with a gross margin of 17.0% versus 17.3% in 2024, highlighting challenges in cost control that could impact overall profitability.
- Adjusted EBITDA Drop: Adjusted EBITDA stood at $9.3 million, significantly down from $14.5 million in the same period of 2024, indicating pressure on operational efficiency and profitability that may affect future investment decisions.
- Financial Performance Review: Quest Resource Holding Corporation reported Q4 2025 revenue of $58.9 million, reflecting a 16% year-over-year decline and a 7% sequential decrease, primarily due to weakness in the industrial market and the divestiture of its mall-related business, resulting in a $10.7 million reduction compared to the prior year.
- Cost Control Effectiveness: The company's SG&A expenses for Q4 were $7.7 million, representing a 24% year-over-year reduction and a 17% sequential decrease, driven by headcount reductions and cost control measures, with an anticipated annual savings of approximately $400,000 in 2026 from a new office sublease.
- Cash Flow and Debt Management: Free cash flow for Q4 was $1.7 million, with $1 million in cash on hand and $37.7 million in available borrowing capacity at year-end, alongside a $2 million debt repayment during the quarter, bringing total debt reduction for the year to $13.2 million, indicating strong financial health.
- Cautious Future Outlook: Management anticipates continued margin pressure in 2026, although they expect to mitigate this through optimizing service levels and expanding wallet share with existing clients, while remaining vigilant about ongoing softness in the industrial market and elongated sales cycles.

- Earnings Release Schedule: Quest Resource Holding Corporation is set to announce its fourth quarter and year-end financial results for 2025 on March 12, 2026, after market close, reflecting the company's commitment to transparency and investor communication.
- Conference Call Details: Management will host a conference call at 5:00 PM ET on the same day, where investors can dial in at 1-800-717-1738 or 1-646-307-1865 to gain insights into financial results and business outlook, aiming to bolster investor confidence.
- Webcast Access: Investors can also access the call online through the investor relations section of Quest's website, with the webcast archived for at least 90 days, ensuring information availability and demonstrating the company's ongoing engagement with investors.
- Playback Service: A telephonic playback of the conference call will be available approximately three hours after the call ends, accessible by calling 1-844-512-2921 or 1-412-317-6671, further enhancing information transparency and investor participation, fostering interaction between the company and its investors.
Earnings Report Expectations: Quest Resource is set to report earnings, with analysts expecting a revenue decline of 17.8% year-on-year to $59.83 million and an adjusted loss of -$0.01 per share.
Recent Performance: The company missed revenue expectations by 17.9% last quarter, and has missed Wall Street's revenue estimates twice since going public, indicating ongoing challenges.
Peer Comparisons: Competitors in the waste management sector, such as Montrose and Waste Connections, have reported positive revenue growth, contrasting with Quest Resource's struggles.
Investor Sentiment: Despite recent performance issues, Quest Resource's stock has risen 10.5% over the past month, with an average analyst price target of $3.08 compared to its current price of $1.47.

Quarterly Performance: PureCycle Technologies reported a quarterly loss of $0.44 per share, significantly worse than the expected loss of $0.25, marking a 76% earnings surprise. Revenue for the quarter was $2.43 million, missing estimates by over 50%.
Stock Outlook: The company's stock has underperformed compared to the S&P 500, gaining only 0.7% since the start of the year. Current consensus estimates predict a loss of $0.20 per share for the next quarter.
Earnings Estimate Revisions: The trend for earnings estimate revisions for PureCycle Technologies is mixed, resulting in a Zacks Rank of #3 (Hold), indicating expected performance in line with the market.
Industry Context: The Waste Removal Services industry, where PureCycle operates, ranks in the top 33% of Zacks industries, suggesting that industry performance could significantly influence the stock's future.







