Bright Horizons Family Solutions(BFAM) - 2024 Q2 - Quarterly Results

Revenue Growth - Revenue for Q2 2024 was $670 million, representing an 11% increase compared to Q2 2023[2] - Revenue for the six months ended June 30, 2024, increased to $1,292,768 thousand, up from $1,156,822 thousand in the same period of 2023, representing an increase of 11.7%[15] - Revenue from child care services for the six months ended June 30, 2024, was $990,717 thousand, up from $888,722 thousand in 2023, an increase of 11.5%[20] - Back-up care revenue grew by 15% in Q2 2024, contributing to overall revenue growth[2] Income and Earnings - Net income for Q2 2024 was $39 million, a 90% increase from $20.6 million in Q2 2023, with diluted earnings per share rising to $0.67[4] - Net income for the six months ended June 30, 2024, was $56,163 thousand, compared to $28,720 thousand in 2023, reflecting a growth of 96.0%[15] - Earnings per share (diluted) increased to $0.96 in 2024 from $0.50 in 2023, marking a significant rise of 92.0%[15] - Diluted adjusted earnings per share for Q2 2024 were $0.88, compared to $0.64 in Q2 2023, marking a 37% increase[21] Operational Performance - Income from operations increased by 52% to $69 million in Q2 2024, up from $45.5 million in Q2 2023[4] - Income from operations for the first half of 2024 was $108,996,000, compared to $76,177,000 in the same period of 2023, reflecting a 43% increase[21] - Adjusted EBITDA for Q2 2024 was $103 million, reflecting a 25% increase from the previous year[5] - Adjusted EBITDA for Q2 2024 was $102,630,000, up 25% from $81,914,000 in Q2 2023, representing 15% of revenue[21] - EBITDA for Q2 2024 was $94,525,000, which is 14% of revenue, up from 12% in Q2 2023[21] Cash Flow and Investments - Cash generated from operations in the first half of 2024 was $225.8 million, compared to $180 million in the same period of 2023[7] - Net cash provided by operating activities for the six months ended June 30, 2024, was $225,750 thousand, compared to $180,042 thousand in 2023, reflecting an increase of 25.3%[18] - The company made net investments totaling $64.1 million in the first half of 2024, down from $68.7 million in the prior year[7] Assets and Liabilities - Cash and cash equivalents at the end of the period increased to $140,246 thousand from $71,568 thousand, showing a growth of 96.0%[17] - Total assets decreased slightly to $3,837,399 thousand as of June 30, 2024, from $3,896,144 thousand at the end of 2023[17] - Total liabilities decreased to $2,554,178 thousand from $2,683,468 thousand, indicating a reduction of 4.8%[17] Tax and Expenses - Income tax expense for Q2 2024 was $17,872,000, compared to $12,719,000 in Q2 2023, indicating a 41% increase[21] - Stock-based compensation expense for Q2 2024 was $8,105,000, up from $7,463,000 in Q2 2023[21] - The company anticipates an effective tax rate of approximately 28% for the full year based on the jurisdictional mix of expected adjusted income before income tax[22] Company Operations - The company operated 1,032 early education and child care centers as of June 30, 2024, with a capacity to serve approximately 115,000 children[5] - Income from operations for the back-up care segment was $47,576 thousand, maintaining a margin of 19% of its revenue in 2024[20]