MACON, Ga. - Blue Bird (NASDAQ:BLBD) Corporation (NASDAQ:BLBD), known for its electric and low-emission school buses, announced today that Britton Smith has resigned as President, effective September 28, 2024, due to personal reasons. He will also step down from the Board of Directors immediately.
Doug Grimm, Chairman of the Board, thanked Smith for his service and contributions to the company. Phil Horlock, the current CEO, will take on the additional role of President following Smith's departure. Horlock has led the company for nearly 14 years and will continue to steer Blue Bird's strategic direction.
Smith expressed his gratitude to Blue Bird's employees and partners, stating his resignation is driven by the need to focus on personal aspects of his life.
Blue Bird remains committed to its growth plan, emphasizing the production of clean, alternative-powered school buses. The company has been a prominent player in the school bus industry since 1927, with over 20,000 propane, natural gas, and electric buses currently in operation.
This leadership change comes as Blue Bird continues to position itself as a leader in sustainable student transportation solutions. The information provided is based on a press release statement from Blue Bird Corporation.
In other recent news, Blue Bird Corporation reported a record-setting fiscal 2024 third-quarter earnings, marking a significant increase in profitability and raising its full-year guidance. The school bus manufacturer announced an all-time high quarterly profit with a 14.5% adjusted EBITDA margin. Additionally, the company witnessed robust growth in net orders for buses, including a surge in electric bus sales. The backlog of firm orders stands at over 5,200 units, equating to approximately $775 million in potential revenue.
Blue Bird is also investing in expanding its production capacity. This expansion is supported by an $80 million grant from the Department of Energy (DOE), which will enable the company to produce up to 14,000 buses annually and create about 400 new jobs. The company has also raised its full-year guidance, expecting record results in fiscal 2024.
In terms of future expectations, Blue Bird anticipates revenue growth and higher adjusted EBITDA in the upcoming years. The company expects fiscal '24 revenue to reach $1.315 billion with adjusted EBITDA of $175 million. For fiscal '25, projections indicate revenue between $1.4 billion and $1.5 billion, with adjusted EBITDA of $180 million to $200 million. Despite facing cost inflation and supply chain constraints, the company remains optimistic about its future performance.
InvestingPro Insights
Amid the leadership changes at Blue Bird Corporation (NASDAQ:BLBD), the company's financial health and market performance remain a focal point for investors. According to InvestingPro data, Blue Bird has a market capitalization of approximately $1.5 billion, showcasing its significant presence in the industry. The company's Price to Earnings (P/E) ratio stands at 15.01, indicating its earnings relative to its share price. When adjusted for the last twelve months as of Q3 2024, the P/E ratio is slightly lower at 14.88, which may suggest a stable earnings outlook.
InvestingPro Tips provide additional insights into Blue Bird's financial dynamics. Notably, analysts are optimistic about the company's profitability, with expectations of net income growth this year. This aligns with the company's strategic direction under the continued leadership of CEO Phil Horlock. Furthermore, three analysts have revised their earnings estimates upwards for the upcoming period, which could signal confidence in Blue Bird's operational performance despite the recent departure of President Britton Smith.
However, it's important to note that while the stock has experienced high returns over the last year, with a one-year price total return of 114.84%, it has also faced volatility. The stock price has seen a significant hit over the last week, with a -9.5% return, and a notable decline over the last three months at -17.8%. This volatility is something investors may want to consider, particularly in light of the recent executive changes.
For those interested in a deeper analysis, there are over 13 additional InvestingPro Tips available, which can be accessed to gain a more comprehensive understanding of Blue Bird's financial performance and stock behavior. These tips and more detailed metrics are part of the InvestingPro service, which provides an enhanced perspective for investors looking to make informed decisions.
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