Driven Brands (NASDAQ:DRVN) Posts Earnings Results, Beats Expectations By $0.10 EPS

Driven Brands (NASDAQ:DRVN) posted its quarterly earnings data on Tuesday. The company reported $0.34 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.10, FiscalAI reports. Driven Brands had a negative net margin of 9.14% and a positive return on equity of 25.31%. The company had revenue of $259.60 million during the quarter, compared to the consensus estimate of $454.91 million. Driven Brands updated its FY 2026 guidance to 1.150-1.250 EPS.

Here are the key takeaways from Driven Brands’ conference call:

• Driven Brands completed a broad restatement of prior financial statements after identifying issues tied to lease accounting, cash balances at Auto Glass Now, Driven Advantage, accounts payable, and accounts receivable. Management said the adjustments reduced reported revenue and adjusted EBITDA across 2023-2025 and included $35 million-$45 million of non-recurring restatement costs expected in 2026.
• The company said it made major progress on portfolio simplification and deleveraging, including divesting U.S. Car Wash, International Car Wash, and PH Vitra. Driven ended 2025 at 3.7x net leverage and reached a pro forma 3.3x after using International Car Wash sale proceeds to repay more than $470 million of debt.
• Take 5 Oil Change remained the growth engine, posting its 22nd consecutive quarter of same-store sales growth and adding 161 net new stores in 2025. Management highlighted strong unit economics, a development pipeline of about 900 sites, and a long-term target of more than 2,500 locations.
• For 2026, Driven guided to revenue of $1.95 billion-$2.05 billion and adjusted EBITDA of $430 million-$460 million, with the EBITDA range including $35 million-$45 million of restatement-related costs. The company expects same-store sales of flat to 2% and 160-190 net new units.
• Management said it is seeing some moderation in Take 5 traffic among newer and more value-oriented customers, while collision trends appear to be normalizing and Auto Glass Now continues to grow. They said they remain confident in pricing and supply for lubricants and expect free cash flow of $125 million-$145 million in 2026.

Driven Brands Trading Down 7.1%

Shares of NASDAQ DRVN opened at $13.23 on Wednesday. The firm’s 50 day moving average price is $12.36 and its 200-day moving average price is $14.00. The company has a market cap of $2.18 billion, a PE ratio of -10.67 and a beta of 0.97. Driven Brands has a 52-week low of $9.80 and a 52-week high of $19.74. The company has a debt-to-equity ratio of 2.44, a quick ratio of 0.80 and a current ratio of 0.90.

Analysts Set New Price Targets

DRVN has been the subject of several recent research reports. Royal Bank Of Canada reissued an “outperform” rating on shares of Driven Brands in a research note on Wednesday. Canaccord Genuity Group lowered their price target on shares of Driven Brands from $24.00 to $20.00 and set a “buy” rating for the company in a research note on Wednesday, April 29th. BTIG Research lowered their price target on shares of Driven Brands from $21.00 to $17.00 and set a “buy” rating for the company in a research note on Wednesday. William Blair downgraded shares of Driven Brands from an “outperform” rating to a “hold” rating in a research note on Wednesday, April 22nd. Finally, Zacks Research raised shares of Driven Brands from a “strong sell” rating to a “hold” rating in a research note on Thursday, March 19th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $18.63.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in DRVN. Lazard Asset Management LLC raised its position in Driven Brands by 0.3% in the second quarter. Lazard Asset Management LLC now owns 216,423 shares of the company’s stock worth $3,800,000 after acquiring an additional 682 shares during the period. Mariner LLC lifted its holdings in Driven Brands by 1.1% during the 4th quarter. Mariner LLC now owns 71,736 shares of the company’s stock valued at $1,063,000 after buying an additional 812 shares in the last quarter. Osaic Holdings Inc. raised its holdings in shares of Driven Brands by 82.1% in the 2nd quarter. Osaic Holdings Inc. now owns 2,087 shares of the company’s stock valued at $37,000 after purchasing an additional 941 shares in the last quarter. Vident Advisory LLC raised its holdings in shares of Driven Brands by 8.0% in the 4th quarter. Vident Advisory LLC now owns 19,620 shares of the company’s stock valued at $291,000 after purchasing an additional 1,458 shares in the last quarter. Finally, Boothbay Fund Management LLC raised its holdings in shares of Driven Brands by 2.2% in the 3rd quarter. Boothbay Fund Management LLC now owns 69,315 shares of the company’s stock valued at $1,117,000 after purchasing an additional 1,488 shares in the last quarter. Institutional investors own 77.08% of the company’s stock.

Trending Headlines about Driven Brands

Here are the key news stories impacting Driven Brands this week:

• Positive Sentiment: Driven Brands beat Q4 earnings estimates, reporting EPS of $0.34 versus $0.24 expected. Article: Driven Brands Holdings Inc. (NASDAQ:DRVN) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Management guided FY 2026 revenue to $2.0 billion-$2.1 billion and EPS to $1.15-$1.25, which was mostly in line to slightly below expectations. Article: Driven Brands Holdings Inc. Reports Fourth Quarter and Fiscal Year 2025 Results
• Negative Sentiment: Revenue missed estimates sharply in Q4, with sales of $259.6 million versus $454.9 million expected, raising concerns about top-line performance. Article: Driven Brands earnings report and conference call
• Negative Sentiment: BTIG Research lowered its price target to $17 from $21, signaling a more cautious view on near-term upside. Article: BTIG Research price target update

Driven Brands Company Profile

Driven Brands Holdings Inc (NASDAQ: DRVN) is a leading North American provider of automotive aftermarket services, operating through a network of franchised and company-owned locations. The company’s platform encompasses a diverse portfolio of car care and maintenance brands, including Meineke Car Care Centers, Maaco Collision Repair & Auto Painting, Take 5 Oil Change, and Carstar Collision Repair. Driven Brands delivers a full range of services from routine maintenance and oil changes to collision repair, paint protection, and vehicle customization.

Headquartered in Charlotte, North Carolina, Driven Brands serves both individual consumers and commercial clients across the United States and Canada.