Business orientation toward sustainable development goals and the circular economy are relevant research topics today in business theory and practice. The waste recycling sector is a key industry in the circular economy framework for promoting clean production and environmental sustainability. This study analyzes business performance in the recycling sector, focusing on efficiency indicators. The associations between firm efficiency and risk variables were also evaluated. The study goes through several methodological stages, including a Data Envelopment Analysis (DEA) multistage method and multivariate modeling: tobit regression, bootstrap models, and generalized method of moments (GMM). The main results indicate that the average efficiency of waste recycling firms is at a medium level. Large-sized firms achieve higher levels of efficiency than medium-sized and small firms, supporting the economies of scale hypothesis. The evidence also suggests that risk variables (rating score and Zscore) and capital structure are key determinants of firm efficiency in the waste recycling industry.
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