NASDAQ$DRVN

Driven Brands Holdings Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Driven Brands reported strong second-quarter results, marked by significant same-store sales growth, net store expansion, and robust operating income growth.

Driven Brands reported a strong second quarter with a 36% increase in revenue to $508.6 million. Consolidated same-store sales increased by 13.2%, and the company added 80 net new stores. Adjusted earnings per diluted share were $0.35. The company has raised its fiscal year 2022 guidance.

  • Revenue increased 36% year-over-year, driven by same-store sales and net store growth.
  • Consolidated same-store sales increased 13.2% for the quarter.
  • The company added 80 net new stores during the quarter.
  • Adjusted Net Income was $59.7 million.

Headline financials

Total Revenue

$509M

Previous: $375M+35.7%
EPS (adj)

$0.35

Previous: $0.25+40.0%
Car Wash Same Store Sales Growth

-2.7%

Previous: 35.2%-107.7%
Total same store sales growth

13.2%

Previous: 38.7%-65.9%
Total store count

4.6K

Previous: 4.3K+6.6%
Free Cash Flow

-$57M

Previous: $35.2M-262.0%
Net Income

-$57M

Previous: $35.2M-262.0%
Operating Income

-$35.7M

Previous: $63.6M-156.1%
Gross Profit

$2M

Previous: $2M+0.0%
Cash & Equivalents

$198M

Previous: $147M+34.4%
Total Assets

$5.91B

Previous: $4.82B+22.7%

Revenue & EPS history

Driven Brands · Revenue · Quarterly

$509M

Q2 2022+35.7%vs Q2 2021
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Driven Brands · $509M total across 5 segments · Q2 2022

  • Company-operated store sales
    $324M+57.1%
  • Supply and other revenue
    $62.9M+14.8%
  • Independently-operated store sales
    $54.9M-2.5%
  • Franchise royalties and fees
    $44.9M+18.4%
  • Advertising contributions
    $22.1M+12.4%

Forward guidance

The Company has raised its guidance for the fiscal year to account for its strong operating performance and M&A activity in the first half of 2022, as well as an updated outlook for the remainder of the year.

Tailwinds

  • Revenue of approximately $2.0 billion.
  • Adjusted EBITDA of approximately $495 million.
  • Adjusted earnings per diluted share of approximately $1.17.
  • Low-double-digit same-store sales growth.
  • Net store growth of approximately 340

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-3.4%

Avg return

Earnings day

-1.8%

Avg return

5 days after

+0.6%

Avg return

30 days after

46%

11 / 24 earnings

Positive

+10.4%

Q1 2022

Best reaction

-37.7%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025-36.4%+3.9%
Q3 2025+5.5%-2.8%+7.6%
Q2 2025+1.9%-2.4%+13.1%
Q1 2025+6.8%+2.0%+1.3%
Q4 2024+2.1%+14.4%+16.8%
Q3 2024+3.9%+7.3%+18.7%
Q2 2024+1.0%-0.4%+6.7%
Q1 2024-20.9%-21.6%-21.6%
Q4 2023-7.6%-6.3%+5.2%
Q3 2023+2.6%+1.3%+20.3%
Q2 2023-37.7%-40.4%-42.5%
Q1 2023-4.5%-7.1%-16.1%
Q4 2022-0.5%+1.4%+0.7%
Q3 2022-4.6%-0.9%-4.6%
Q2 2022+2.0%+6.7%+8.0%
Q1 2022+10.4%+9.1%+12.9%
Q4 2019-3.8%-4.5%-6.8%
Q4 2021-1.2%-4.3%-5.6%
Q3 2020-1.9%+2.4%+3.2%
Q3 2021-2.0%+4.3%-0.6%
Q2 2020-0.1%-0.9%+5.2%
Q2 2021+3.3%+2.7%-4.0%
Q1 2021+6.9%+3.0%+7.7%
Q4 2020-5.8%-10.4%-12.1%
Q1 2020
Q1 2019

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