NYSE$BFAM

Bright Horizons Family Solutions · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Bright Horizons reported a revenue increase of 15% and an operating income increase of 12% compared to Q4 2021.

Bright Horizons Family Solutions reported strong Q4 2022 financial results, with revenue growth across all service lines. The company achieved enrollment growth goals and saw solid use and participation in Back-Up Care and Educational Advisory services. They enter 2023 with a strong foundation and are well-positioned to capitalize on growth prospects.

  • Revenue increased by 15% to $530 million compared to Q4 2021.
  • Income from operations increased by 12% to $40 million compared to Q4 2021.
  • Net income increased by 2% to $18 million compared to Q4 2021.
  • Adjusted EBITDA increased by 15% to $91 million compared to Q4 2021.

Headline financials

Total Revenue

$530M

Previous: $463M+14.5%
EPS (adj)

$0.77

Previous: $0.65+18.5%
Operating Margin

7.4%

No prior period
Gross Margin

21.0%

Previous: 23.2%-9.5%
Capital Expenditures

$22.3M

Previous: $16.1M+38.3%
Free Cash Flow

$35.2M

Previous: $25.9M+36.0%
Net Income

$18M

Previous: $18M+0.0%
Operating Income

$39.6M

Previous: $35M+13.1%
Gross Profit

$111M

Previous: $107M+3.6%
Cash & Equivalents

$36.2M

Previous: $261M-86.1%
Total Assets

$3.8B

Previous: $3.64B+4.4%
Stock-Based Comp

$6.83M

Previous: $6.33M+8.0%

Revenue & EPS history

Bright Horizons · Revenue · Quarterly

$530M

Q4 2022+14.5%vs Q4 2021
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Bright Horizons · $530M total across 3 segments · Q4 2022

  • Full Service Center-Based Child Care
    $388M+14.6%
  • Back-Up Care
    $108M+15.2%
  • Educational Advisory Services
    $33.2M+10.6%

Forward guidance

Bright Horizons expects fiscal year 2023 revenue to be in the range of $2.3 billion to $2.4 billion, and diluted adjusted earnings per common share to be in the range of $2.80 to $3.00.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

-0.2%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+1.1%

Avg return

30 days after

46%

25 / 54 earnings

Positive

+12.4%

Q2 2024

Best reaction

-18.2%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.9%-16.1%-23.8%
Q4 2025-18.2%-13.4%-6.8%
Q3 2025+12.3%+8.6%+11.4%
Q1 2025-4.2%-3.8%-0.7%
Q4 2024+8.4%+9.5%+6.5%
Q3 2024-13.2%-13.0%-11.1%
Q2 2024+12.4%+10.4%+17.0%
Q1 2024+7.2%+10.2%+1.3%
Q4 2023+6.4%+11.5%+15.3%
Q3 2023+9.5%+14.7%+21.1%
Q2 2023-2.8%-4.6%-2.7%
Q1 2023+5.7%+17.2%+9.2%
Q4 2022+3.9%+2.7%+1.4%
Q3 2022+1.1%+0.2%+14.6%
Q2 2022-12.1%-16.3%-28.3%
Q1 2022-10.1%-23.1%-19.3%
Q4 2021-3.2%-1.3%+3.2%
Q3 2021-12.4%-12.4%-28.5%
Q2 2021-1.0%-1.4%-1.6%
Q1 2021-5.9%-4.8%-1.4%
Q4 2020-9.2%-8.6%-7.9%
Q3 2020-2.2%+5.8%+5.1%
Q2 2020+10.8%+7.9%+22.2%
Q1 2020-7.0%-6.7%+12.5%
Q4 2019+0.2%+0.1%-27.4%
Q3 2019+1.0%-2.8%+2.3%
Q2 2019-1.7%-0.8%+8.5%
Q1 2019+0.6%+1.3%+5.7%
Q4 2018+2.6%+2.7%+6.1%
Q3 2018+0.9%+1.2%+5.9%
Q2 2018+2.5%+1.5%+10.9%
Q1 2018-1.0%+2.2%+5.6%
Q4 2017-0.4%+1.3%+6.8%
Q3 2017+2.8%+3.7%+3.1%
Q2 2017-0.7%-0.4%+1.2%
Q1 2017+4.7%+6.4%+2.5%
Q4 2016-3.3%-3.8%-1.9%
Q3 2016-6.2%-5.7%+1.1%
Q2 2016-2.5%+0.5%+4.5%
Q1 2016-0.3%
Q4 2015-3.4%
Q3 2015+4.1%
Q2 2015+5.0%
Q1 2015+6.3%
Q4 2014+1.6%
Q3 2014-1.3%
Q2 2014-2.2%
Q1 2014+0.4%
Q4 2013-0.9%
Q3 2013-0.3%
Q2 2012-1.1%
Q2 2013-0.5%
Q1 2013-2.2%
Q4 2012+8.1%
Q3 2012
Q1 2012

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