06:33 AM EST, 11/12/2025 (MT Newswires) -- Boyd Group Services ( BGSI ) on Wednesday reported higher adjusted earnings and revenue for the third quarter, though both came in below consensus estimates, as the company continued executing its Project 360 cost transformation plan. It added that the acquisition of Joe Hudson's in October marks a "particularly exciting milestone" for the group.

For Q3, BYD said adjusted net earnings increased to US$13.3 million, compared with $3.2 million in the same period of 2024 and adjusted net earnings per share increased to $0.62, compared with $0.15 in the same period of 2024, but below a consensus forecast at FactSet of $0.64.

Prior to the adjustments for acquisition and transformational cost initiatives, Boyd posted net earnings of $10.8 million, compared with $2.9 million in the same period of 2024 and net earnings per share of $0.51, compared with $0.13 in the same period of 2024

Sales increased by 5.0% to $790.2 million, just below a consensus forecast of $790.4 million, but up from $752.3 million in the same period of 2024 with same store sales increasing 2.4%, and $22.2 million in sales coming from new locations. The third quarter of 2025 recognized the same number of selling and production days when compared to the same period of 2024.

"Since the beginning of the third quarter, Boyd has experienced a transformative period defined by significant achievement and growth", said Brian Kaner, President and CEO. "We signed a definitive agreement to acquire Joe Hudson's Collision Center, a leading collision repair operator in the US Southeast, successfully completed a $897 million bought-deal initial public offering concurrent with a listing on the New York Stock Exchange, and achieved a return to positive same-store sales, all while making meaningful progress on our margin improvement initiatives."

Kaner added: "During the third quarter, we generated 2.4% same-store sales growth and added 24 new locations to our collision platform. These additions included 17 acquired shops, along with seven newly opened start-up locations."

Kaner said the positive top-line performance was supported by successful execution of Project 360 cost transformation plan, resulting in 22.8% growth in Adjusted EBITDA for the quarter. Adjusted EBITDA margins increased by 170 basis points year-over-year, reaching 12.4% for the third quarter ended September 30, 2025, driven by both gross margin expansion and positive operating leverage.

"Over the past several years, we have been patient and disciplined in waiting for the right complementary multi-shop operator (MSO) to acquire, one that fits strategically and at the right valuation. Joe Hudson's meets both criteria. It is a company we have long admired for its strong operational performance, concentrated footprint in the U.S. Southeast, and strategic alignment with Boyd's business. This acquisition enhances our scale, accelerates our growth, and solidifies Boyd's position as one of the leading players in the highly fragmented North American collision repair industry. We expect the acquisition to close late in the fourth quarter of 2025, subject to customary closing conditions and regulatory requirements."

The company also announced a dividend increase of 2.0% to $0.624 per share annualized from $0.612 per share annualized.

Shares of Boyd Group Services ( BGSI ) rose $0.23, or 0.1%, in Canada on Wednesday. The company's shares also began trading on the New York Stock Exchange under the symbol "BGSI".