As the business world continues to operate nearly a year and a half into the COVID-19 pandemic, The Boyd Group announced Wednesday that sales are up and demand has increased in the U.S. for the company’s services to the point that more staff is needed, and the company acquired more locations.
The Boyd Group is one of the largest operators of non-franchised collision repair centers in North America, operating under various brand names in Canada and the U.S. The company owns Gerber Collision & Glass, Gerber National Claims Processing, Glass America, Boyd Auto Body & Glass and Assured Collision Repair Professionals.
“Comparing the second quarter of 2021 to the same period of 2020 demonstrates how significantly the business was impacted by the pandemic one year ago and how far we have come since that time,” Timothy O’Day, the Boyd Group president and CEO, says in an announcement Wednesday about the company’s second quarter of 2021 results. “During the second quarter, we saw infection numbers and restrictions decrease, while vaccination levels increased.”
The company “achieved strong same-store sales growth in the quarter,” which ended June 30, 2021.
“Although we continued to experience reduced demand in certain markets at the beginning of the second quarter, demand accelerated in most U.S. markets as the quarter progressed. By the end of the second quarter, demand in the U.S. was at meaningfully higher levels than we experienced in the first quarter of 2021,” O’Day says in the announcement.
According to O’Day, the company still has work to do to meet the increasing level of demand when it comes to staff and technicians.
While still at below pre-pandemic levels, demand for collision repair accelerated in the U.S. during the second quarter of 2021 “in stark contrast with the second quarter of 2020 where demand was significantly diminished due to the COVID-19 pandemic and expenses were aggressively reduced accordingly,” the announcement states.
Boyd’s sales increased by 44.4% in the second quarter of 2021, to $444.6 million from $308 million during the same period in 2020. The company’s cash balance was $35.6 million.
Boyd acquired 39 locations, including 16 locations previously operated as John Harris Body Shops in Georgia and South Carolina. Just after the second quarter ended, Boyd followed up and acquired 39 additional locations, 35 of which operated as Collision Works in Oklahoma, Kansas and Missouri.
O’Day adds that, as demand continues to increase in 2021 and sales are still below pre-pandemic levels, “demand is exceeding our capacity in all U.S. markets.” The company is working on adding more staff.
In Canada, however, demand remains significantly lower than before the pandemic.
“Looking to the balance of 2021 and beyond, we continue to be confident that we will maintain progress toward our long-term growth targets and operational plans,” O’Day says.