Here's What Key Metrics Tell Us About Bright Horizons (BFAM) Q3 Earnings

Zacks
2024-11-05

For the quarter ended September 2024, Bright Horizons Family Solutions (BFAM) reported revenue of $719.1 million, up 11.4% over the same period last year. EPS came in at $1.11, compared to $0.88 in the year-ago quarter.

The reported revenue represents a surprise of +1.18% over the Zacks Consensus Estimate of $710.72 million. With the consensus EPS estimate being $1.06, the EPS surprise was +4.72%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Bright Horizons performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenue- Full service center-based child care: $486.57 million versus $488.72 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +9.4% change.
  • Revenue- Educational advisory and other services: $30.75 million compared to the $29.70 million average estimate based on two analysts. The reported number represents a change of -3.7% year over year.
  • Revenue- Back-up care: $201.78 million versus $191.14 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +19.3% change.
  • Income from operations- Full service center-based child care: $12.47 million versus $16.90 million estimated by two analysts on average.
  • Income from operations- Educational advisory and other services: $6.44 million versus the two-analyst average estimate of $5.73 million.
  • Income from operations- Back-up care: $70.49 million compared to the $59.73 million average estimate based on two analysts.
View all Key Company Metrics for Bright Horizons here>>>

Shares of Bright Horizons have returned -2% over the past month versus the Zacks S&P 500 composite's +0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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