BrightView Holdings (BV) came out with quarterly earnings of $0.11 per share, beating the Zacks Consensus Estimate of $0.07 per share. This compares to loss of $0.07 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 57.14%. A quarter ago, it was expected that this investment company would post earnings of $0.05 per share when it actually produced earnings of $0.02, delivering a surprise of -60%.Over the last four quarters, the c ...

[Overall Financial Performance and Outlook](index=1&type=section&id=Overall%20Financial%20Performance%20and%20Outlook) [Second Quarter Fiscal 2024 Performance Summary](index=1&type=section&id=Second%20Quarter%20Fiscal%202024%20Performance%20Summary) BrightView reported strong Q2 FY2024 growth, with revenue up 3.5% and net income surging 253%, boosted by a divestiture gain | Metric | Q2 FY2024 | YoY Change | | :--- | :--- | :--- | | Total Revenue | $672.9 million | +3.5% | | Net Income | $33.7 million | +253% | | Net Income Margin | 5.0% | +840 bps | | Adjusted EBITDA | $64.8 million | +38.5% | | Adjusted EBITDA Margin | 9.6% | +240 bps | - The company recorded a **$43.9 million gain** on the divestiture of its non-core U.S. Lawns Business, significantly boosting net income[3](index=3&type=chunk) - Revenue growth in Q2 was primarily driven by a **$34.3 million increase** in snow removal revenue and an **$8.8 million increase** from development services, partially offset by a **$21.5 million decrease** in the commercial landscaping business[33](index=33&type=chunk) - CEO Dale Asplund attributed the strong results to the company's strategy of focusing on profitable growth and a unified go-to-market offering under 'One BrightView'[11](index=11&type=chunk) [Updated Fiscal Year 2024 Guidance](index=1&type=section&id=Updated%20Fiscal%20Year%202024%20Guidance) BrightView updated its FY2024 guidance, lowering revenue but reaffirming Adjusted EBITDA and raising Free Cash Flow outlook | Metric | Prior Guidance | Updated Guidance | | :--- | :--- | :--- | | Total Revenue | $2.825 - $2.975 billion | $2.740 - $2.800 billion | | Adjusted EBITDA | $310 - $340 million | $315 - $335 million | | Adj. EBITDA Margin | +40bps to +80bps | +90bps to +130bps | | Free Cash Flow | $45 - $75 million | $55 - $75 million | - The company reaffirmed its breakthrough EBITDA guidance for fiscal 2024 while raising its Free Cash Flow guidance, reflecting confidence in profitability and operational efficiency[11](index=11&type=chunk) [Detailed Financial Results](index=2&type=section&id=Detailed%20Financial%20Results) [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) For the six months ended March 31, 2024, total revenue decreased 0.5%, but Adjusted EBITDA increased 17.0% due to cost management | Metric (Six Months Ended March 31) | 2024 | 2023 | Change | | :--- | :--- | :--- | :--- | | Total Revenue | $1,299.6 M | $1,306.3 M | (0.5%) | | Net Income (Loss) | $17.3 M | $(40.9) M | +142.3% | | Adjusted EBITDA | $111.5 M | $95.3 M | +17.0% | | Adjusted EPS | $0.13 | $(0.09) | +244.4% | - The six-month revenue decrease was driven by a **$40.4 million decline** in commercial landscaping, partially offset by a **$19.8 million increase** in development services and a **$12.1 million increase** in snow removal revenue[13](index=13&type=chunk) - The increase in Adjusted EBITDA for both the three and six-month periods was attributed to successful cost management initiatives focused on payroll and overhead, as well as the reduction in non-core businesses[8](index=8&type=chunk)[34](index=34&type=chunk) [Segment Performance](index=3&type=section&id=Fiscal%202024%20Results%20%E2%80%93%20Segments) In Q2 FY2024, Maintenance Services revenue grew 2.6% and Development Services revenue increased 5.7%, with both segments improving margins [Maintenance Services](index=3&type=section&id=Maintenance%20Services) Maintenance Services revenue increased 2.6% in Q2, driven by snow removal, leading to 28.6% Adjusted EBITDA growth and margin expansion | Maintenance Services (Q2 FY2024) | Amount | YoY Change | | :--- | :--- | :--- | | Total Revenue | $510.5 M | +2.6% | | - Landscape Maintenance | $337.4 M | (6.0%) | | - Snow Removal | $173.1 M | +24.7% | | Adjusted EBITDA | $66.5 M | +28.6% | | Adjusted EBITDA Margin | 13.0% | +260 bps | - The increase in segment Adjusted EBITDA and margin was driven by higher snow removal revenue and lower labor costs resulting from the company's cost management initiatives[35](index=35&type=chunk) [Development Services](index=4&type=section&id=Development%20Services) Development Services revenue increased 5.7% in Q2 due to higher project volumes, with Adjusted EBITDA growing 9.9% and margin expanding | Development Services (Q2 FY2024) | Amount | YoY Change | | :--- | :--- | :--- | | Revenue | $164.4 M | +5.7% | | Adjusted EBITDA | $14.4 M | +9.9% | | Adjusted EBITDA Margin | 8.8% | +40 bps | - For the six months ended March 31, 2024, segment revenue increased **6.0%** and Adjusted EBITDA increased **14.9%**, driven by higher project volumes and cost savings[37](index=37&type=chunk) [Cash Flow and Capital Expenditures](index=4&type=section&id=Cash%20Flow%20and%20Capital%20Expenditures) For the first six months of FY2024, operating cash flow nearly doubled and Free Cash Flow surged, supported by reduced capital expenditures | Cash Flow Metrics (Six Months Ended March 31) | 2024 | 2023 | Change | | :--- | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $109.5 M | $55.0 M | +99.1% | | Capital Expenditures | $22.7 M | $42.7 M | (46.8%) | | Free Cash Flow | $89.4 M | $15.9 M | +462.3% | - The increase in operating cash flow was due to higher net income and favorable changes in accounts receivable and unbilled/deferred revenue[38](index=38&type=chunk) [Balance Sheet and Debt Position](index=5&type=section&id=Balance%20Sheet%20and%20Debt%20Position) As of March 31, 2024, BrightView significantly improved its leverage profile, reducing Net Financial Debt and the Net Debt to Adjusted EBITDA ratio to 2.4x | Debt Metrics | Mar 31, 2024 | Sep 30, 2023 | Mar 31, 2023 | | :--- | :--- | :--- | :--- | | Total Financial Debt | $931.2 M | $937.5 M | $1,409.3 M | | Total Net Financial Debt | $753.9 M | $870.5 M | $1,398.8 M | | Net Debt / Adj. EBITDA Ratio | 2.4x | 2.9x | 5.0x | - The company's cash and cash equivalents increased significantly to **$177.3 million** as of March 31, 2024, compared to **$11.0 million** a year prior[17](index=17&type=chunk) [Financial Statements and Reconciliations](index=10&type=section&id=Financial%20Statements%20and%20Reconciliations) [Consolidated Balance Sheets](index=10&type=section&id=Consolidated%20Balance%20Sheets) The unaudited consolidated balance sheet as of March 31, 2024, shows total assets of $3.36 billion, with cash rising and liabilities stable | Balance Sheet Item (in millions) | March 31, 2024 | September 30, 2023 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $177.3 | $67.0 | | Total current assets | $798.6 | $742.1 | | Goodwill | $2,015.7 | $2,021.4 | | **Total Assets** | **$3,361.6** | **$3,352.2** | | **Liabilities & Equity** | | | | Total current liabilities | $477.2 | $466.7 | | Long-term debt, net | $880.4 | $888.1 | | **Total Liabilities** | **$1,610.6** | **$1,610.7** | | **Total Stockholders' Equity** | **$1,243.9** | **$1,243.3** | [Consolidated Statements of Operations](index=11&type=section&id=Consolidated%20Statements%20of%20Operations) The consolidated statement of operations for Q2 FY2024 shows a net income of $33.7 million, a turnaround from a net loss, driven by a divestiture gain | Income Statement (Three Months Ended Mar 31, in millions) | 2024 | 2023 | | :--- | :--- | :--- | | Net Service Revenues | $672.9 | $650.4 | | Gross Profit | $152.0 | $147.1 | | (Gain) on divestiture | $(43.9) | - | | Income (loss) from operations | $62.2 | $(2.6) | | **Net income (loss)** | **$33.7** | **$(22.0)** | [Consolidated Statements of Cash Flows](index=12&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended March 31, 2024, net cash from operating activities significantly improved, with investing activities providing net cash from divestiture proceeds | Cash Flow (Six Months Ended Mar 31, in millions) | 2024 | 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $109.5 | $55.0 | | Net cash provided (used) by investing activities | $32.3 | $(51.8) | | Net cash (used) by financing activities | $(31.5) | $(12.3) | | **Net change in cash and cash equivalents** | **$110.3** | **$(9.1)** | [Reconciliation of GAAP to Non-GAAP Financial Measures](index=13&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Financial%20Measures) The company provides detailed reconciliations for non-GAAP measures like Adjusted EBITDA, Adjusted Net Income, and Free Cash Flow, clarifying their use as supplementary information | Reconciliation to Adjusted EBITDA (Q2 FY2024, in millions) | Amount | | :--- | :--- | | Net income (loss) | $33.7 | | Interest expense, net | $16.0 | | Income tax expense | $13.3 | | Depreciation & Amortization | $34.8 | | Business transformation & integration costs | $6.1 | | Gain on divestiture | $(43.9) | | Equity-based compensation | $4.8 | | **Adjusted EBITDA** | **$64.8** | - Business transformation and integration costs of **$6.1 million** in Q2 included severance, IT infrastructure, and business integration expenses[53](index=53&type=chunk)[59](index=59&type=chunk) [Supporting Information](index=5&type=section&id=Supporting%20Information) [About BrightView](index=5&type=section&id=About%20BrightView) BrightView is the largest commercial landscaping services company in the U.S., offering design, maintenance, and snow/ice removal services to diverse properties - BrightView provides comprehensive commercial landscaping and snow removal services across the U.S.[18](index=18&type=chunk) - Key client types include corporate offices, homeowners' associations, healthcare facilities, educational institutions, and sports venues[18](index=18&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) This press release contains forward-looking statements about future performance, subject to risks and uncertainties like economic conditions and weather impacts - Forward-looking statements are identified by words like "outlook," "guidance," "expects," and are not guarantees of future performance[19](index=19&type=chunk) - Key risks include economic conditions, raw material costs, customer retention, weather dependency, and regulatory changes[19](index=19&type=chunk)[43](index=43&type=chunk) [Non-GAAP Financial Measures](index=8&type=section&id=Non-GAAP%20Financial%20Measures) The company uses non-GAAP financial measures to supplement GAAP results, aiding investors in comparing core operating performance, but cautions they are not substitutes - The company uses non-GAAP measures to assist investors in comparing performance on a consistent basis by excluding non-recurring or non-cash items[21](index=21&type=chunk) - Key non-GAAP measures defined include: Adjusted EBITDA, Adjusted Net Income (Loss), Adjusted EPS, Free Cash Flow, and various debt metrics[21](index=21&type=chunk) - The company cautions that these non-GAAP measures have limitations and may not be comparable to similarly titled measures of other companies[45](index=45&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of Each Class Trading Symbol Name of exchange on which registered FORM 10-Q ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to BrightView Holdings, Inc. (Exact name of Registrant as specified in its Charter) Securities registered pursuant to Section 12(g) of the Act: None Table of Contents Table of Contents Table of Contents This Quarterly Report on Form 10- ...

BrightView Landscapes is equipping its team members with safety boots from Red Wing Shoes to help ensure safety and comfort in every aspect of their work. (Photo: Business Wire)BrightView Landscapes is equipping its team members with safety boots from Red Wing Shoes to help ensure safety and comfort in every aspect of their work. (Photo: Business Wire)BrightView Landscapes is equipping its team members with safety boots from Red Wing Shoes to help ensure safety and comfort in every aspect of their work. (Ph ...

BLUE BELL, Pa.--(BUSINESS WIRE)--BrightView Holdings, Inc. (NYSE: BV), the leading commercial landscaping services company in the United States, announced today that the Company’s Board of Directors has declared a cash dividend of $8.91 million on its Series A Preferred Stock. The dividend represents payment for the period from December 31, 2023 to March 30, 2024, and will be paid on April 1, 2024, to holders of record as of March 15, 2024. On August 28, 2023, BrightView entered into an investment agreemen ...

BLUE BELL, Pa.--(BUSINESS WIRE)--BrightView Holdings, Inc. (NYSE: BV), the leading commercial landscaping services company in the United States, announced today that it will participate in the following investor events: Craig-Hallum Capital Group Fireside Chat Date: Thursday, March 14, 2024 Location: Virtual Jefferies Business Services Summit Date: Thursday, March 21, 2024 Location: New York, New York BrightView has made available on its investor relations website an updated investor presentation for use ...

Thanasis/Moment via Getty ImagesBrightView Holdings, Inc. (NYSE:BV) recently reported divestitures at double digit EBITDA multiple, and announced cash re-investments that may bring operating margin growth. Furthermore, recent decreases in the net debt/EBITDA ratio and new announcements with regard to new M&A growth make BV a buy. Even considering risks from the total amount of debt obligations, goodwill impairments, or changes in the environmental regulations, BV does trade undervalued. BrightView’s Bus ...

welcomia/iStock via Getty Images BV Has Upside Despite The Challenges I have previously discussed BrightView Holdings (NYSE:BV), and you can read the latest article here. As discussed in my previous iteration, the company will continue looking for profitability improvement. However, it will look to refine its approach at the start of Q2. It realigned the business by integrating the tree and golf services into core maintenance branches while divesting the non-core U.S. Lawns franchisee. The sale proceed ...

BrightView Holdings, Inc. (NYSE:BV) Q1 2024 Results Conference Call February 1, 2024 8:30 AM ET Company Participants Chris Stoczko - VP, Finance Dale Asplund - President and CEO Brett Urban - CFO Conference Call Participants Bob Labick - CJS Securities Andrew Wittman - Robert W Baird & Co. Tim Mulrooney - William Blair Andrew Steinerman - JPMorgan George Tong - Goldman Sachs Operator Hello and welcome to the BrightView Holdings Q1 2024 Earnings Call. My name is Elliot, I'll be coordinating your call today. ...

CHARLOTTE, N.C., Feb. 1, 2024 /PRNewswire/ -- Today EverSmith Brands announced the acquisition of U.S. Lawns, a franchised provider of commercial landscaping and snow removal services for U.S. commercial properties. This investment is the latest add-on to EverSmith Brands' portfolio of B2B service-based franchise companies.U.S. Lawns was acquired from BrightView Holdings, Inc. (NYSE: BV), a leading commercial landscaping services company in the United States. EverSmith Brands Acquires U.S. Lawns Post thi ...