BGSI · Boyd Group Services Inc.

Boyd Group Services Inc. reported record first quarter 2026 results, with sales increasing 28.1% to $996.7 million and Adjusted EBITDA surging 51.9% to $122.4 million. The strong performance was driven by the acquisition of Joe Hudson's Collision Center, which added 258 locations, and positive same-store sales growth of 1.7% (approximately 2.6% adjusted for winter storm impact). Gross margin expanded 30 basis points to 46.5%, benefiting from improved parts and paint margins from Project 360 and Joe Hudson's synergies. Adjusted EBITDA margin improved 200 basis points to 12.3%, reflecting the accretive nature of the acquisition and cost savings. Net loss of $7.9 million was impacted by $21.1 million in acquisition and transformational costs, but adjusted net earnings rose 144% to $16.1 million. Management highlighted continued market share gains and improving industry conditions, with same-store sales in April approaching the low end of the long-term 3-5% range. The company expects to open five start-up locations in Q2 2026 and 17 additional through year-end. The long-term growth framework targets 3-5% same-store sales growth and 5-7% growth from new locations, with a goal of achieving 14% Adjusted EBITDA margin through Project 360 and Joe Hudson's synergies, which are expected to total $140 million in annual recurring savings by 2029.