Canada's Boyd Group Q1 sales rise 28%, slightly less than estimated

Overview

• Canada collision repair operator's Q1 sales rose 28% but slightly missed analyst expectations

• Adjusted EPS met analyst expectations; adjusted EBITDA rose 52% with margin expansion

• Growth driven by Joe Hudson acquisition, new locations and positive same-store sales

Outlook

• Boyd expects to open five start-up locations in Q2 2026 and 17 more by year-end

• Company says same-store sales in April are approaching the low end of its long-term range

• Boyd maintains long-term framework for 3–5% average same-store sales growth

Result Drivers

• JOE HUDSON ACQUISITION - Addition of 258 locations from Joe Hudson's and related synergies drove sales and margin growth

• SAME-STORE SALES GROWTH - Company reported 1.7% same-store sales growth, or 2.6% adjusting for weather impact in the U.S. South

• COST SAVINGS & SYNERGIES - Project 360 cost savings and Joe Hudson integration synergies contributed to margin expansion

Company press release: ID:nPnc3WC39a

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the personal services peer group is "buy"

• Wall Street's median 12-month price target for Boyd Group Services Inc is C$266.00, about 74% above its May 12 closing price of C$152.86

• The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 43 three months ago

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