Boyd Group Services (BYD) Q3 2025 earnings summary

Executive summary

• Achieved 5.0% year-over-year sales growth to $790.2 million in Q3 2025, with same-store sales up 2.4% and momentum continuing into Q4.

• Surpassed 1,000 locations, added 24 new sites (17 acquired, 7 start-ups), and announced a definitive agreement to acquire Joe Hudson's Collision Center for $1.3 billion, adding 258 locations.

• Completed a $897 million U.S. IPO, began trading on the NYSE, and issued C$525 million senior unsecured notes.

• Project 360 cost transformation plan drove 22.8% growth in adjusted EBITDA and 170 bps margin expansion year-over-year.

• Industry conditions are normalizing, with moderation in insurance premium increases and growth in used vehicle prices supporting recovery.

Financial highlights

• Q3 2025 sales were $790.2 million, up 5% year-over-year; gross profit increased 6.5% to $365.9 million, and gross margin rose to 46.3% from 45.7%.

• Adjusted EBITDA grew 22.8% to $98.4 million (margin up to 12.4% from 10.7%).

• Adjusted net earnings rose to $13.3 million ($0.62/share) from $3.2 million ($0.15/share) year-over-year; net earnings were $10.8 million ($0.51/share), up from $2.9 million ($0.13/share).

• Debt, net of cash before lease liabilities, increased to $521 million from $487 million at year-end 2024.

• Operating expense ratio decreased to 33.9% from 35.0% year-over-year.

Outlook and guidance

• Same-store sales growth continued into October, trending within the 3%-5% long-term range and exceeding Q3.

• Project 360 cost savings on track for $70 million annualized by end of 2026 and $100 million by 2029.

• Expect to open 13 new start-up locations in Q4 2025, with 18 more in development through September 2026; annual target is 80-100 new locations.

• Joe Hudson's acquisition expected to close in Q4 2025, delivering $35–$45 million in synergies by 2028, about half realized near-term.

• Five-year plan targets $5 billion revenue, $700 million adjusted EBITDA, and 1,400+ locations by 2029.