7.2.6.3Vertical

Metal Scrap & Recycling

Scrap metal dealers and processors recovering ferrous and non-ferrous metals.

Market snapshot

These figures describe Recycling & Materials Recovery (7.2.6), the segment that Metal Scrap & Recycling sits within. They are not figures for Metal Scrap & Recycling on its own.

Market size
~$116B
Growth
~6.7%CAGR (2017–22, nominal)
Companies
~7,319 firms
Firms by employee count

79.6% of firms have fewer than 20 employees: 5,829 micro-businesses, below most mandates.

The investable universe1,490 firms with 20+ employees
20–99
1,15678%
100–499
21014%
500+
1248%

Revenue here swings with commodity markets for the recovered material, so a good year reflects scrap prices more than tonnage. The structural change is that producers are now contracting directly for recycled content, which turns a commodity processor into a supply-chain partner.

NAICS 423930, 562920. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

Business model & economics

Revenue model

Processing fees plus recovered-commodity sales

Key economics

Revenue per firm
$15,872,523
Revenue per employee
$856,415
Employees per firm
17.4
Recurring revenue
Moderate–High

recurring recyclable feedstock

EBITDA margin
Commodity-price- and contamination-sensitive
Capex intensity
High

Characteristics

  • Scale-driven: payroll is only 6% of revenue, so the cost base is assets, not headcount
  • Moderate strategic-buyer pool: 124 firms exceed 500 employees, so a scaled asset has buyers, but not many
  • MRFs turn recyclables into commodity feedstock.
  • Sustainability and EPR regulation drive demand.
  • Advanced sorting and chemical recycling investment.

NAICS 423930, 562920. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

M&A deal context

Deal activityModerate

Who’s acquiring

  • Solid-waste majors
  • Independent recyclers & processors
  • Sustainability & circular-economy investors

What’s driving deals

  • Recycled-content mandates and EPR regulation.
  • Advanced-recycling-technology investment.
  • Circular-economy and sustainability demand.

Find Metal Scrap & Recycling acquisition targets

Search Acquisera’s index for companies classified under Metal Scrap & Recycling (7.2.6.3) and build a targeted deal pipeline.

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