Driven Brands Holdings Inc. Stock Price, News & Analysis

Driven Brands (NASDAQ: DRVN) reported strong Q1 2025 results, marking its 17th consecutive quarter of same-store sales growth. Revenue increased 7% to $516.2 million, with system-wide sales up 2% to $1.5 billion. The company posted net income of $6 million ($0.04 per diluted share), up from $4 million ($0.02 per diluted share) in Q1 2024. Take 5 Oil Change was a standout performer with 15% revenue growth and 8% same-store sales growth. The company completed the divestiture of its U.S. car wash business in April 2025 and reaffirmed its 2025 outlook, projecting revenue of $2.05-2.15 billion and Adjusted EBITDA of $520-550 million. Additionally, Jonathan Fitzpatrick will transition to Board Chair, with Danny Rivera stepping in as CEO.

Driven Brands Holdings (NASDAQ: DRVN) has announced it will release its first quarter 2025 earnings before market opens on May 6, 2025. The company's management will host a conference call at 8:30 a.m. ET on the same day to discuss financial and operating performance. Investors can access the webcast through the company's Investor Relations website at investors.drivenbrands.com, with a replay available for at least three months.

Driven Brands Holdings Inc. (NASDAQ: DRVN) has completed the sale of its U.S. car wash business to Whistle Express Car Wash. The transaction includes approximately $255 million in cash and a $130 million negotiable interest-bearing seller note, subject to post-closing adjustments.

The company plans to use the cash proceeds to reduce debt, targeting a net leverage of 3x or less by the end of 2026. The U.S. car wash business results will be reported as discontinued operations in fiscal year 2025.

As of Fiscal Year 2024, Driven Brands operated 5,200 locations across 14 countries, servicing approximately 70 million vehicles. The network generated approximately $2.3 billion in annual revenue from $6.5 billion in system-wide sales.

Driven Brands Holdings (NASDAQ: DRVN) has announced a significant change in its segment reporting structure, effective Q1 2025. The new structure features Take 5 Oil Change as a standalone segment, highlighting its position as the company's primary growth driver. Additionally, the company has consolidated its franchise businesses into a single segment.

According to CFO Mike Diamond, this realignment better reflects their operational management and value creation drivers. The restructuring emphasizes Driven Brands' dual business model: growth through Take 5 Oil Change and free cash flow generation from franchise brands. The company has recast its quarterly segment financial information for fiscal year 2024 to align with the new structure, though this change does not affect consolidated historical U.S. GAAP financial results.

Driven Brands Holdings (NASDAQ: DRVN) has announced its participation in the Bank of America 2025 Consumer & Retail Conference in Miami. The company's fireside chat is scheduled for Tuesday, March 11, 2025, at 9:40 a.m. ET.

The event will be accessible through a live webcast on the company's Investor Relations website at investors.drivenbrands.com and will remain available for replay for at least 30 days following the presentation.

As North America's largest automotive services company, Driven Brands operates approximately 5,200 locations across 14 countries, serving around 70 million vehicles annually. The company's portfolio includes prominent brands such as Take 5 Oil Change, Meineke Car Care Centers, Maaco, and CARSTAR. The network generates approximately $2.3 billion in annual revenue from $6.5 billion in system-wide sales.

Driven Brands (NASDAQ: DRVN) reported its fourth quarter and fiscal year 2024 results, with annual revenue increasing 2% to $2.3 billion, driven by 1% same-store sales growth and 4% net store growth. System-wide sales rose 4% to $6.5 billion. The company reported a net loss of $292 million ($1.82 per diluted share) for fiscal 2024, compared to a $745 million loss in 2023. Adjusted EBITDA grew 7% to $553 million, while Adjusted Net Income was $186 million ($1.14 per diluted share).

The company announced a definitive agreement to sell its U.S. car wash business to Whistle Express Car Wash. Take 5 Oil Change, Driven's flagship brand, delivered 16% revenue growth and 7% same-store sales growth for the year. The company also announced a CEO transition, with Daniel Rivera appointed as President and CEO effective May 9, 2025, while current CEO Jonathan Fitzpatrick will become Non-Executive Chair.

For fiscal year 2025, Driven Brands expects same-store sales growth of 1-3% and net store growth of approximately 175-200 locations.

Driven Brands (NASDAQ: DRVN) has announced that Chief Operating Officer Daniel Rivera will become President and CEO effective May 9, 2025, succeeding Jonathan Fitzpatrick who has served as CEO since 2012. Fitzpatrick will remain on the Board as Non-Executive Chair and serve as a senior advisor through 2025 to ensure a smooth transition.

Rivera joined Driven Brands in 2012 as Chief Information Officer and has held roles of increasing responsibility, including Meineke Brand President, President of Take 5 Oil Change, Group President of the Maintenance segment, and most recently as COO overseeing all business segments.

The appointment follows a comprehensive succession planning process led by the Board's Nominating & Corporate Governance Committee. Under Fitzpatrick's leadership, Driven Brands grew from $38 million in Adjusted EBITDA in 2012 to over $550 million in 2024 and successfully completed its IPO. The Board will expand to 11 directors as part of the transition.

Driven Brands (NASDAQ: DRVN) has announced an agreement to sell its U.S. car wash business to Whistle Express Car Wash for $385 million. The transaction includes $255 million in cash and a $130 million interest-bearing seller note, with closing expected in Q2 2025.

According to Jonathan Fitzpatrick, President and CEO, this strategic divestiture will allow Driven Brands to reduce debt and enhance focus on its growing Take 5 Oil Change brand and stable franchise operations. The company plans to use proceeds primarily to pay down debt, working toward achieving 3x or less net leverage by the end of 2026.

The decision follows a strategic review of value-maximizing options for the U.S. car wash business. Driven Brands will provide additional information about the transaction and 2025 guidance during its fourth quarter and full year 2024 earnings call.

Driven Brands Holdings (NASDAQ: DRVN) has announced it will release its fourth quarter and year-end 2024 earnings report before market opening on February 25, 2025. The company's management will host a conference call at 8:30 a.m. ET on the same day to discuss financial and operating performance. Investors can access the webcast through the company's Investor Relations website at investors.drivenbrands.com. A replay of the call will remain available for a minimum of three months.