Car wash company exceeds expectations with higher profit and revenue
- Driven Brands stock up 11.6% in premarket trades
- Adjusted Q3 profit and revenue beat analyst expectations
- Loss of $799.3 million in Q3, compared to net income of $38.4 million in the year-ago period
- Adjusted net income of 20 cents a share, beating consensus estimate of 18 cents a share
- Q3 revenue rose to $581 million, surpassing consensus view of $568.4 million
- Driven Brands expects adjusted 2023 profit of 92 cents a share and revenue of $2.3 billion
Driven Brands Holdings Inc.’s stock surged 11.6% in premarket trades after the car wash operator reported better-than-expected adjusted profit and revenue for the third quarter. The company recorded a loss of $799.3 million in Q3, compared to net income of $38.4 million in the same period last year. However, adjusted net income of 20 cents a share surpassed the consensus estimate of 18 cents a share. Additionally, third-quarter revenue rose to $581 million, beating the analysts’ consensus view of $568.4 million. Looking ahead, Driven Brands expects to achieve an adjusted profit of 92 cents a share and revenue of $2.3 billion in 2023, aligning with analyst expectations.
Public Companies: Driven Brands Holdings Inc. (DRVN)
Private Companies:
Key People:
Factuality Level: 8
Justification: The article provides specific financial information about Driven Brands’ third-quarter profit and revenue, including comparisons to analyst expectations and the previous year’s performance. The information is verifiable and based on reported financial data. However, it does not provide any additional context or analysis, which could have enhanced the overall factuality level.
Noise Level: 7
Justification: The article provides information on Driven Brands Holdings Inc.’s stock performance and financial results. However, it lacks analysis of long-term trends or antifragility. It also does not hold powerful people accountable or provide actionable insights or solutions. The article stays on topic and supports its claims with data and examples, but overall, it contains mostly filler content and does not provide significant value beyond reporting the company’s financials.
Financial Relevance: Yes
Financial Markets Impacted: The stock price of Driven Brands Holdings Inc. (DRVN) is up by 11.6% in premarket trades on Wednesday.
Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to financial topics as it discusses the stock performance and financial results of Driven Brands Holdings Inc.
