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Bright Horizons (BFAM)
NYSE:BFAM
Earnings Data
Report Date
May 05, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.79Last Year’s EPS
0.77Same Quarter Last Year
Moderate Buy
Based on 7 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a predominantly positive operating and financial picture: solid revenue and EPS beats, robust back-up care growth and high margins, a profitable U.K. turnaround, strong cash generation and constructive 2026 guidance. Key operational challenges persist — notably a multi-year portfolio rationalization (45–50 expected closures), occupancy below the long-term ~70% target, closure-related lease/tail costs, and ongoing labor/benefits pressure. On balance, positive financial momentum and explicit growth guidance outweigh the operational headwinds.Company Guidance
Revenue and EPS Growth Exceeded Expectations
Q4 revenue grew 9% to $734 million and full-year revenue was $2.93 billion, up 9% year-over-year. Adjusted EPS increased 17% in Q4 to $1.15 and full-year adjusted EPS was $4.55, up 31% year-over-year — both above company expectations.
Back-up Care: Strong Top-line and Profitability
Back-up care revenue rose 17% in Q4 to $183 million and grew 19% for the full year to $728 million. Q4 operating margin for back-up care was ~32%. Management expects back-up care revenue to increase 11%–13% in 2026 and noted double-digit growth in active users within existing clients (despite relatively flat eligible populations), highlighting deeper penetration and continued runway (penetration still well under 10%).
Improved Overall Margins and Profit Metrics
Adjusted operating income increased 14% in Q4 to $91 million with Q4 adjusted operating margin up ~60 basis points to 12.3%. Adjusted EBITDA rose 12% to $123 million (17% margin). Management reported full-year adjusted operating margin expansion of ~200 basis points and delivered 30% earnings growth for the year.
Full-Service Stabilization and U.K. Turnaround
Full-service revenue increased 6% in Q4 to $515 million driven by tuition increases and modest enrollment gains. Enrollment in centers open >1 year grew ~1% and occupancy averaged in the mid-60% range. The U.K. full-service business returned to positive operating profit for the year, a turnaround from ~$30 million of annual losses two years earlier.
Ed Advisory Continues Growth and High Margins
Ed advisory revenue was up 10% in Q4 to $36 million and grew 9% for the full year to $125 million, with operating margins around 30% in Q4. College Coach led margin performance and new clients were added (e.g., Estee Lauder, Becton Dickinson).
Strong Cash Generation, Share Repurchases and Healthy Leverage
Full-year cash from operations was $351 million (versus $337 million prior year). The company repurchased $225 million of shares in 2025 (including ~$120 million in Q4), ended the year with $140 million of cash, and reported net leverage of roughly 1.7x net debt to adjusted EBITDA.
Constructive 2026 Guidance
Company guided 2026 revenue to $3.075–3.125 billion (growth of ~5%–6.5%) and adjusted EPS to $4.90–$5.10. Segment guidance includes full-service growth of 3.5%–4.5%, back-up care growth of 11%–13%, and ed advisory mid-single-digit growth. Q1 2026 revenue growth guidance is 6%–7.5% with Q1 adjusted EPS of $0.75–$0.80.
BFAM Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
BFAM Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 12, 2026 | $81.83 | $66.90 | -18.25% |
Oct 30, 2025 | $92.28 | $109.23 | +18.37% |
Jul 31, 2025 | $113.10 | $125.10 | +10.61% |
May 05, 2025 | $126.82 | $121.31 | -4.34% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Bright Horizons (BFAM) report earnings?
Bright Horizons (BFAM) is schdueled to report earning on May 05, 2026, After Close (Confirmed).
What is Bright Horizons (BFAM) earnings time?
Bright Horizons (BFAM) earnings time is at May 05, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is BFAM EPS forecast?
BFAM EPS forecast for the fiscal quarter 2026 (Q1) is 0.79.