Driven Brands surges on robust financial performance

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【Summary】Driven Brands, a car wash company, saw a surge in premarket trading after exceeding analyst expectations with its adjusted profit and revenue in the third quarter. Despite reporting a net loss, the company's adjusted net income of 20 cents per share surpassed the estimated 18 cents per share. Third-quarter revenue also increased to $581 million, beating consensus estimates.

FutureCar Staff Nov 01, 2023 9:20 AM PT

Driven Brands surges on robust financial performance

Driven Brands Holdings Inc.'s stock DRVN experienced an 11.6% increase in premarket trades on Wednesday. This surge followed the car wash operator's better-than-expected adjusted third-quarter profit and revenue. In the third quarter, Driven Brands reported a loss of $799.3 million, or $4.83 per share. This was in contrast to the year-ago period when it recorded a net income of $38.4 million, or 23 cents per share. However, the company's adjusted net income for the latest quarter was 20 cents per share, surpassing the FactSet consensus estimate of 18 cents per share.

Driven Brands' third-quarter revenue also saw growth, rising to $581 million from $516 million in the year-ago quarter. This increase in revenue exceeded the analysts' consensus and highlights the company's positive performance during this period.