BrightView Posts Strong Q1 on Snowfall Surge, Eyes Land Business Rebound in Second Half
BrightView Holdings (NYSE: BV) opened its fiscal 2026 with a performance that underscored both the opportunities and challenges of its weather-dependent business. Reporting first-quarter results, the commercial landscaping leader highlighted a 3% year-over-year revenue increase to $615 million, largely propelled by a dramatic 110% surge in snowfall across key regions.
"We view our execution during these significant snow events as a true differentiator," said CEO Dale Asplund during the earnings call, emphasizing the company's focus on reliable service. CFO Brett Urban noted that the exceptional snow season, while a top-line boon, created a mixed picture. It limited the company's ability to perform core landscape maintenance in some markets, leading to an $8.9 million decline in that segment's revenue for the quarter.
Beyond the weather, management pointed to foundational improvements they believe will fuel sustainable growth. Frontline employee turnover has improved by roughly 30% over two years, a trend Asplund ties to initiatives like "advanced pay" and investments in becoming the "employer of choice." This focus on retention is paying dividends with clients: customer retention rates have rebounded approximately 450 basis points from a 2023 low of 79%.
The company is also aggressively expanding its commercial engine, adding about 80 new sales personnel in the quarter. This build-out supports a key leading indicator—the land contract "book of business," which has grown about 2% over the last three quarters. "This contract value on the books is a key underpinning for our confidence in back-half growth," Urban stated, referencing the company's $1.7 billion land business.
Financially, BrightView delivered another quarter of adjusted EBITDA growth. The balance sheet remains a point of strength, with about $500 million in liquidity and no significant debt maturities until 2029. This supports ongoing strategic investments, including a final year of elevated capital expenditure for fleet renewal in 2026. Demonstrating confidence, the board increased the share repurchase authorization to $150 million, with $14 million bought back in Q1 at an average multiple of 7.5x EBITDA.
Despite weather-related headwinds in the maintenance segment and a 7% dip in development revenue due to project timing, leadership reiterated full-year guidance for revenue, EBITDA, and free cash flow. The thesis hinges on underlying operational momentum translating into a return to land revenue growth in the second half, setting the stage for what would be a third consecutive year of record adjusted EBITDA.
Market Voices:
"The snow revenue is a welcome buffer, but the real story is the structural turnaround in retention and sales capacity. If they can hold these gains, the post-weather rebound could be significant." – Michael Thorne, Portfolio Manager at Greenhaven Capital.
"A 7.5x buyback multiple is a glaring admission the market undervalues them. This level of self-investment, coupled with no near-term debt walls, gives them ample runway to execute their branch-level improvement strategy." – Sarah Chen, Equity Analyst at Clearwater Research.
"It's frustrating. They keep talking about 'underlying metrics' improving, but when do we see it consistently in the quarterly maintenance numbers without a 'weather impact' caveat? The contract book growth is a positive step, but it's minimal. I need to see execution, not just hiring plans." – David R. Miller, Independent Investment Analyst.
"The strategic patience is notable. They're prioritizing sales force integration and fleet renewal over splashy M&A right now. That discipline, focused on service density and operational consistency, should build a more resilient business model in the long term." – Anya Petrova, Director at Midwest Trust.