Bright Horizons Q2 revenue slightly beats estimates on back-up care growth

Bright Horizons Family Solutions

30/07/2026 21:21

Overview
US early education provider's Q2 revenue rose 7%, slightly beating analyst expectations
Adjusted EPS for Q2 increased 20% and beat analyst expectations
Net income and GAAP EPS declined due to impairment losses and higher tax and interest expense

Outlook
Bright Horizons expects 2026 revenue between $3.085 bln and $3.115 bln
Company sees 2026 diluted adjusted EPS in range of $5.05 to $5.15

Result Drivers
BACK-UP CARE GROWTH - Co said back-up care revenue grew 19% with strong utilization entering summer
CENTER-BASED CHILD CARE - Growth in full service center-based child care contributed to revenue increase
IMPAIRMENT LOSSES - Decrease in income from operations was primarily related to impairment losses at centers in certain markets

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Slight Beat*
$779 mln
$774.84 mln (7 Analysts)
Q2 Adjusted EPS
Beat
$1.28
$1.20 (9 Analysts)
Q2 EPS
 
$0.79
 
Q2 Net Income
 
$40.60 mln
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the personal services peer group is "buy"
Wall Street's median 12-month price target for Bright Horizons Family Solutions Inc is $93.00, about 12.5% above its July 29 closing price of $82.68
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 16 three months ago

Reuters Recommended Reads
July 29 - Strategic Education Q2 revenue beats estimates on education technology growth
July 30 - Laureate Education beats Q2 estimates on strong enrollment growth 
July 29 - Coursera Q2 revenue beats estimates, outlook raised

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)