Auto service company Valvoline beats Q3 adjusted EPS beats expectations, narrows FY forecast

Valvoline

06/08/2025 12:41

Overview

Valvoline Q3 revenue grows 4% yr/yr to $439 mln

Adjusted EPS of $0.47 beats analyst expectations, per LSEG data

Co adds 46 new stores, expanding retail network

Outlook

Valvoline sees full-year system-wide SSS growth of 5.8% - 6.4%

Company expects fiscal 2025 net revenues of $1.69 - $1.72 bln

Valvoline forecasts adjusted EBITDA of $460 - $470 mln for fiscal 2025

Company plans $60 mln in share repurchases for fiscal 2025

Result Drivers

STORE EXPANSION - Valvoline added 46 new stores, contributing to retail network growth

STRONG SAME-STORE SALES - Same-store sales grew 4.9%, driven by transaction growth despite lower miles driven

REFRANCHISING IMPACT - Adjusted EBITDA grew 12% considering refranchising activities

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
$439 mln
Q3 Adjusted EPS
Beat
$0.47
$0.45 (12 Analysts)
Q3 EPS
$0.44
Q3 Adjusted EBITDA
Beat
$130 mln
$123.30 mln (10 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 5 "hold" and no "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 Valvoline Inc is $44.00, about 17.6% above its August 5 closing price of $36.25

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nPn9ZfFF9a

(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.)