Driven Brands Holdings Inc reported second-quarter fiscal year 2026 revenue of $507 million, a 7% increase year over year. Adjusted EBITDA reached $107 million, while systemwide sales grew 5% to $1.6 billion.

The company’s performance was anchored by the Take 5 segment, which achieved its 24th consecutive quarter of same-store sales growth. Take 5 recorded a 3.6% increase in same-store sales and 13% systemwide sales growth, adding 50 net new locations during the quarter. The broader franchise network expanded by 192 net new stores over the last 12 months, bringing the total footprint to over 4,300 locations.

Segment Performance and Margins

The Franchise Brands segment, encompassing Meineke, Maaco, and CARSTAR, maintained high profitability with an adjusted EBITDA margin of 59%. Same-store sales for this segment rose 0.5%. Conversely, the Auto Glass Now segment saw adjusted EBITDA decline to $3.5 million due to out-of-period costs, despite a 2.6% increase in same-store sales.

What the Numbers Show

A divergence exists between reported adjusted EBITDA and underlying operational strength. While consolidated adjusted EBITDA decreased by $7.9 million to $107 million, this decline was driven by $11.8 million in non-recurring restatement costs. Excluding these charges, adjusted EBITDA increased by 3.4% or $3.9 million. This indicates that core operations remained resilient despite the optical decline in headline earnings, with interest expense falling $10.4 million due to debt paydown further supporting net income stability.

Guidance and Strategic Outlook

Management reiterated full-year FY26 guidance, expecting revenue between $1.95 billion and $2.05 billion and adjusted EBITDA between $430 million and $460 million. However, the company noted it expects results to lean toward the lower end of the EBITDA range due to macroeconomic uncertainties and inflationary pressures on oil costs. Net leverage currently stands at 3.1x, with a target of 3.0x by the end of 2026.

The board recently rejected an acquisition proposal from ADW Capital Partners, stating the offer undervalued the company. Management emphasized that the current strategy focuses on driving growth through Take 5 unit expansion while generating reliable cash flow from Franchise Brands to fund deleveraging and future capital allocation.

Driven Brands Holdings Inc. (NASDAQ: DRVN) will participate in a fireside chat at the Goldman Sachs Global Consumer and Retail Conference in New York. The session is scheduled for September 15, 2026.

The fireside chat will begin at 2:05 pm ET. Investors can view the live webcast on the company’s Investor Relations website. A replay will remain available for at least 30 days.

Company Overview

Headquartered in Charlotte, North Carolina, Driven Brands is the largest automotive services company in North America. It provides consumer and commercial services including oil changes, paint, collision repair, glass replacement, and vehicle maintenance.

The company operates several leading brands:

• Take 5 Oil Change
• Meineke Car Care Centers
• Maaco
• 1-800-Radiator & A/C
• Auto Glass Now
• CARSTAR

As of the end of fiscal year 2025, the network comprised over 4,200 locations across the United States and Canada. It services tens of millions of vehicles annually.

Financial Scale

Driven Brands’ network generated approximately $1.9 billion in annual revenue. This figure represents a portion of the $6.1 billion in system-wide sales recorded for the period.