Bright Horizons Family Solutions Inc.: Initiation Of Coverage – Are Its Footprint Rationalization & Portfolio Optimization Efforts Enough To Warrant A Bullish Rating?

Based on the fourth quarter 2023 earnings, Bright Horizons Family Solutions demonstrated a strong 2023 full-year performance reporting significant growth in both revenue and earnings. To elaborate, for the fiscal year 2023, the company reported revenue of $2.4 billion, demonstrating growth of 20% year-on-year, with adjusted earnings per share of $2.84 representing a 9% increase compared to 2022. The primary drivers of this growth were revenues in Full Service and Back-Up Care. Full Service revenue increased nearly 20% while Back-Up Care revenue surpassed the $500 million mark, up an impressive 26% in 2023.