Key Takeaways:
- Reports record Q1 sales of $996.7 million, up 28.1% year-over-year
- Adjusted EBITDA rises 51.9% to a record $122.4 million
- Collision location footprint expands 33% after Joe Hudson’s acquisition
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Boyd Group sales jump 28% to record $997 million on acquisition
Boyd Group Services Inc. (BGSI) on Wednesday reported record first-quarter sales of $996.7 million, a 28.1% year-over-year increase, driven by its recent acquisition of Joe Hudson’s Collision Center and continued market share gains.
"We delivered all-time record sales and Adjusted EBITDA in the first quarter, reflecting strong execution of our growth strategy and operational priorities," Brian Kaner, President & CEO of the Boyd Group, said in a statement.
Adjusted EBITDA rose 51.9% to a record $122.4 million, with margins expanding 200 basis points to 12.3%. Same-store sales grew 1.7%, or an adjusted 2.6% excluding weather impacts, marking the third consecutive quarter of positive growth. The company added 269 locations, increasing its collision footprint by 33% from a year ago.
The results offer the first look at the performance of the collision repair giant after its transformative $1.3 billion acquisition of Joe Hudson's, confirming the deal is accretive to margins and validating its strategy of growth through consolidation amid challenging industry conditions.
The Winnipeg-based company's adjusted net earnings increased 144% to $16.1 million, or $0.58 per share. While revenue narrowly missed analyst expectations of $1.01 billion, the strong profitability gains demonstrated the company's ability to extract value from its expanded scale. The Joe Hudson's acquisition, which closed in mid-January, added 258 locations to Boyd's portfolio.
Gross margins expanded 30 basis points to 46.5%, benefiting from cost savings related to the company's "Project 360" initiative and synergies from the Joe Hudson's integration, which the company said was completed on schedule. Boyd also achieved its target of 80% internalization for scanning and calibration services, a key metric of rising complexity and cost in collision repair.
Looking ahead, the company noted that same-store sales in April were approaching the low end of its long-term target range of 3-5%. Boyd expects to open five new locations in the second quarter and an additional 17 through the end of the year, signaling continued confidence in its growth pipeline.
The strong quarter validates Boyd's strategy of scaling up to navigate a fragmenting industry facing headwinds from declining repairable claim volumes. Investors will watch the company's May 13 earnings call for further details on synergy realization and the outlook for the rest of 2026.
This article is for informational purposes only and does not constitute investment advice.
[1] Boyd Group Services Inc. Reports Record First Quarter 2026 Sales of $996.7 Million and Adjusted EBITDA of $122.4 Million, Driven by Continued Market Share Gains through Same-Store Sales Growth and Completion of Strategic Acquisition[2] Ispire Technology Inc. (ISPR) Reports Q3 Loss, Lags Revenue Estimates[3] Auto body chain Boyd adds 269 shops as quarterly sales nears $1B - Stock Titan[4] Tuesday Ticker: May 12, 2026 - Collision Repair Mag[5] Boyd earnings on deck as $1.3B acquisition faces first test - Investing.com UK
