Kindercare Learning Companies, Inc.(US:KLC)2025-05-13 20:18Financial Performance - Revenue for Q1 2025 reached $668.244 million, a 2.1% increase compared to $654.670 million in Q1 2024 [61] - Adjusted EBITDA for Q1 2025 was $83.551 million, compared to $74.440 million in Q1 2024 [62] - Net income for Q1 2025 was $21.157 million, a significant improvement from a net loss of $1.751 million in Q1 2024 [61] - The company reiterates its FY 2025 guidance with revenue projected between $2.75 billion and $2.85 billion, Adjusted EBITDA between $310 million and $325 million, and Adjusted EPS between $0.75 and $0.85 [49] Operational Metrics - The number of early childhood education centers increased to 1,582 as of March 29, 2025, from 1,563 as of March 30, 2024 [27] - Before- and after-school sites increased to 1,038 as of March 29, 2025, from 950 as of March 30, 2024 [27] - Total centers and sites reached 2,620 as of March 29, 2025, compared to 2,513 as of March 30, 2024, representing a 4.3% increase [27, 35] - ECE same-center revenue increased to $606.4 million in Q1 2025 from $597.7 million in Q1 2024, a 1.4% increase [27, 40] - ECE same-center occupancy was 69.1% in Q1 2025, a slight decrease of 0.5% (50 bps) compared to 69.6% in Q1 2024 [27, 40] Strategic Initiatives - KinderCare Learning Companies expanded its footprint to 41 states and the District of Columbia by entering Idaho [13] - Champions expanded into 10 new districts during Q1 and has increased by 88 sites during the past 12 months [13] Balance Sheet - Net debt stood at $796.1 million as of March 29, 2025 [44] - The leverage ratio (Net Debt / TTM Adjusted EBITDA) was 2.6x [44] - Liquidity was $338.7 million, including $262.5 million in revolver availability and $131.3 million in unrestricted cash [45]