What is the revenue and EPS growth rate for Bright Horizons year over year?

What is the market's earnings forecast for Bright Horizons next quarter?

What were the key takeaways from Bright Horizons’s earnings call?

What were the key takeaways from Bright Horizons's earnings call?

What guidance did Bright Horizons's management provide for the next earnings period?

What is Bright Horizons's latest dividend and current dividend yield?

Did Bright Horizons beat or miss consensus estimates last quarter?

What factors drove the changes in Bright Horizons's revenue and profit?

- **Revenue Growth**: Q3 revenue up 12% to $803 million, with back-up care driving 26% segment growth.
- **Margin Expansion**: Adjusted EBITDA margin 19%, operating margin 15.5%, and 38% back-up care margin.
- **2025 Guidance**: Full year revenue $2.925 billion, adjusted EPS $4.48-$4.53, reflecting 9% growth.
- **Sustainability**: 2026 back-up care growth projected at 11-13%, with 10 million eligible employees and <10% penetration.
- **Strategic Focus**: Capacity expansion, personalized marketing, and client retention initiatives.
- **Risk Management**: 25-30 center closures in 2026, with 50-100 basis point margin expansion.


**【CEO Summary Section】**
- Q3 revenue increased 12% to $803 million, with back-up care revenue up 26% to $253 million.
- Full service centers saw 6% growth, with 3 new centers opened, including partnerships with MIT and Dartmouth Hitchcock Medical Center.
- 2025 full year guidance updated to $2.925 billion revenue and adjusted EPS of $4.48-$4.53, reflecting 9% revenue growth and 18% back-up care expansion.
- Emphasis on long-term growth through personalized marketing, capacity expansion, and strategic client relationships.

**【CFO Financial Commentary】**
- Q3 adjusted operating income rose 39% to $124 million, with a 15.5% operating margin and $156 million adjusted EBITDA (19% margin).
- Back-up care operating margin improved to 38%, driven by strong demand and cost efficiency.
- Full year 2025 outlook includes $203 million cash from operations, $105 million stock repurchases, and net leverage ratio of 1.7x.

**【Q&A Highlights】**
- **Sustainability of Back-up Care Growth**: CEO projects 11-13% 2026 growth, with 10 million eligible employees and <10% penetration.
- **Enrollment Trends**: Full service enrollment growth expected to moderate to 1% Q4, with focus on improving customer experience.
- **Pricing Strategy**: 4% average tuition increase, with localized adjustments for demand variability.
- **U.K. Market**: 2025 contribution to be modestly positive, with 2026 margin expansion of 50-100 basis points.
- **Capacity Management**: 25-30 centers expected to close in 2026, prioritizing high-demand locations.
- **Economic Impact**: Clients maintain back-up care investment despite workforce reductions, with 90%+ retention rates.


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