Earnings

Enviri Raises 2026 Outlook After Adjusted EBITDA Rebound

The Tip Desk · November 14, 2026 · 3 min read

Adjusted EBITDA excluding unusual items was $47 million in the third quarter, up 21% from a year earlier, as the company lifted its 2026 outlook for both reportable segments.

Enviri Corporation (NVRI), a global provider of environmental and operational solutions to the metal and rail industries, reported third-quarter 2026 revenues from continuing operations of $325 million and raised its 2026 Adjusted EBITDA outlook for Harsco Environmental and Harsco Rail after both units exceeded the company’s expectations.

Adjusted EBITDA excluding unusual items totaled $47 million, up 21% from $39 million a year earlier. Sequentially, the measure rose from $34 million in the second quarter. GAAP consolidated income from continuing operations was $6 million, or $0.16 a share, after a $297 million GAAP loss in the second quarter that included ETO contract-exit charges and Clean Earth and spin-off items. Adjusted diluted loss per share from continuing operations was $0.16.

President and CEO Russell Hochman said Enviri delivered adjusted earnings growth of more than 20% for the second consecutive quarter and that both businesses reported their highest quarterly earnings in approximately two years. He said the company raised its full-year Adjusted EBITDA outlook on those results.

Harsco Environmental was the larger of the two segments. Revenues were $273 million, up 5% from $261 million a year earlier, which the company attributed to higher volumes and services pricing. GAAP operating income was $20 million and Adjusted EBITDA was $50 million, with the margin at 18.2%. The company said the year-on-year change in adjusted earnings also reflected internal improvement actions.

Harsco Rail revenues were $52 million, lower than a year earlier as anticipated, which the company attributed to lower volumes, including equipment volumes after exiting contracts with Network Rail and Deutsche Bahn. GAAP operating income was $19 million, compared with a $9 million operating loss a year earlier. Adjusted EBITDA was $1 million, versus a $4 million loss. The company said the year-on-year change in adjusted earnings reflected lower operating costs, including lower cost of sales using LIFO, and a more favorable business mix.

In the quarter, Harsco Rail executed an agreement with Deutsche Bahn that releases it from all obligations under the ETO contract. The company said Harsco Rail repaid prior customer advances of $73 million as anticipated, received an initial $8 million payment from GBM for project assets under a previously disclosed agreement, and expects to receive up to an additional $34 million from GBM in the coming quarters. GAAP results included a gain related to that initial GBM payment and a favorable adjustment to the Deutsche Bahn exit reserve after the release of performance bonds.

Hochman said the company completed the final assessment phase of its internal improvement program and expects approximately $40 million in earnings growth over the next two years through actions already underway and additional measures planned in coming quarters. The company said those initiatives are designed to improve underlying performance across market cycles.

Net cash used by operating activities was $7 million, compared with $34 million provided a year earlier. Adjusted free cash flow was $(18) million, versus $(41) million a year earlier excluding Clean Earth and transaction-related expenditures. The company attributed the change in adjusted free cash flow to lower working capital in Harsco Rail, including the impact of exiting two ETO contracts, and lower financing costs, partially offset by working capital timing in Harsco Environmental.

The company increased its 2026 Adjusted EBITDA outlook for both segments, citing higher volume expectations, including services in Harsco Environmental and aftermarket in Harsco Rail, as well as cost benefits from structural cost optimization and productivity initiatives. It now expects Harsco Environmental Adjusted EBITDA of $180 million to $184 million, above prior-year results, and Harsco Rail Adjusted EBITDA of $(7) million to $(10) million, above 2025.