Bright Horizons reported third‑quarter 2025 results with revenue of $802.8 million, up 12% year‑over‑year, and net income of $78.6 million, a 43% increase from the same quarter last year. Earnings per share were $1.37 versus $0.94 in Q3 2024, and adjusted EBITDA rose to $156.1 million, a 29% jump. Operating income reached $120.8 million, up from $89.4 million in Q3 2024. Segment revenue was $253.37 million for Back‑Up Care and $515.51 million for Full‑Service Center‑Based Child Care.
In the prior quarter, Q3 2024 revenue was $719 million with net income of $55 million and operating income of $89 million. Q2 2025 revenue was $732 million, net income $55 million, and operating income $86 million, showing a consistent upward trend across the year.
The company raised its full‑year 2025 guidance. Previously it had projected revenue of $2.9 billion to $2.92 billion and diluted adjusted EPS of $4.15 to $4.25. The new outlook calls for revenue of $2.925 billion and diluted adjusted EPS of $4.48 to $4.53, reflecting stronger momentum in both Back‑Up Care and Full‑Service segments.
Management highlighted that higher utilization of Back‑Up Care and enrollment gains coupled with tuition increases in Full‑Service drove the earnings growth. It also noted that labor costs and competitive pressures are potential headwinds, but the company’s cost‑control initiatives and pricing power helped maintain an expanded operating margin. The company’s balance sheet remains strong, with ample cash and borrowing capacity.
The results come amid a broader trend of rising demand for employer‑sponsored child‑care services as companies return to in-person work. Bright Horizons’ diversified service mix positions it well to capture this demand. The company beat consensus estimates, with adjusted EPS of $1.57 versus an estimate of $1.32, and revenue of $802.8 million versus estimates of $779.8 million to $796.3 million.
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