Mister Car Wash, the leading car wash brand in the United States, has announced its financial results for the fourth quarter and the entire fiscal year of 2022, demonstrating a robust performance and setting a positive course for 2023. For customers looking for reliable and convenient car cleaning services, understanding the financial health of Mister Car Wash reinforces its stability and commitment to providing excellent service at convenient Mister Car Wash Hours across its numerous locations. This report highlights the company’s impressive growth in revenue, customer base, and strategic expansion, signaling continued accessibility and quality for Mister Car Wash customers.
Fourth Quarter Performance: A Snapshot of Success
In the final quarter of 2022, Mister Car Wash showcased significant financial gains. Net revenues saw a substantial 12.0% surge, climbing to $214.3 million from $191.5 million in the same period of 2021. This increase reflects sustained customer demand and the brand’s effective operational strategies. Comparable store sales also grew by a healthy 4.0%, building upon an already impressive 14.6% increase in the prior year’s quarter. This consistent growth in comparable sales indicates strong customer loyalty and effective store management.
The company’s Unlimited Wash Club (UWC) membership, a cornerstone of its recurring revenue model, experienced a significant expansion. Mister Car Wash welcomed 24,000 new UWC members in the fourth quarter alone. By the close of December 2022, the total UWC membership reached approximately 1.884 million, a remarkable 13.8% increase year-over-year. The popularity of the UWC program is evident in its contribution to wash sales, accounting for approximately 71% of total wash sales in Q4 2022, compared to 67% in the same quarter of the previous year. This demonstrates the effectiveness of the membership model in driving sales and fostering customer retention, ensuring that customers can access car wash services during mister car wash hours with ease and value.
Expanding its footprint, Mister Car Wash strategically increased its number of locations. In the fourth quarter, the company opened 13 new greenfield locations and acquired three existing car washes. This brought the total operational car wash locations to 436 as of December 31, 2022, up from 396 locations at the end of 2021, representing a 10.1% growth in locations. This expansion enhances accessibility for customers, offering more locations and potentially more convenient mister car wash hours in various communities.
Profitability remained strong, with net income reaching $17.8 million, or $0.05 per diluted share. Adjusted net income and diluted adjusted net income per share were even more robust at $25.9 million and $0.08, respectively. Adjusted EBITDA, a key measure of operational profitability, increased by 15.4% to $66.2 million, from $57.3 million in the fourth quarter of 2021. These profitability metrics underscore the company’s efficient operations and strong financial health, which ultimately supports its ability to maintain service quality and convenient mister car wash hours.
Fiscal Year 2022: A Year of Substantial Growth
The full fiscal year of 2022 was marked by significant achievements for Mister Car Wash. Net revenues grew by an impressive 15.6%, reaching $876.5 million, compared to $758.4 million in the previous year. Comparable store sales increased by 5.0%, following a remarkable 31.7% increase in the prior year, demonstrating sustained sales momentum.
The company’s Unlimited Wash Club continued to attract a large customer base, adding approximately 228,000 new members throughout the year. This growth in membership highlights the value proposition of the UWC and its appeal to car wash customers seeking regular cleaning services at predictable costs and during flexible mister car wash hours.
Net income for the full year stood at $112.9 million, or $0.34 per diluted share. Adjusted net income saw a 9.9% increase to $130.8 million from $119.0 million, and diluted adjusted net income per share increased to $0.40 from $0.39 in the prior year. Adjusted EBITDA for the full year increased by 10.7% to $281.6 million, from $254.3 million in the comparable period last year. These figures demonstrate the company’s consistent profitability and financial strength throughout the entire fiscal year, supporting its ongoing operations and customer service, including maintaining accessible mister car wash hours.
Strategic Store Expansion and Financial Strength
Mister Car Wash’s growth in 2022 was significantly supported by strategic expansion. The company ended the year with 436 locations, a substantial increase from 396 at the beginning of the year. This growth was achieved through a combination of acquisitions and the opening of new greenfield locations. In 2022, Mister Car Wash acquired 31 locations and opened 28 new greenfield sites, demonstrating an aggressive yet strategic approach to expanding its market presence and offering more access to mister car wash hours for customers.
The company’s balance sheet remained robust, with cash and cash equivalents totaling $65.2 million as of December 31, 2022, a significant increase from $19.7 million the previous year. Net cash provided by operating activities was also strong at $229.2 million for fiscal year 2022, compared to $173.4 million in 2021. This financial strength provides Mister Car Wash with the flexibility to invest in future growth and maintain high standards of service, including consistent mister car wash hours.
Furthermore, Mister Car Wash engaged in sale-leaseback transactions, completing three separate deals in the fourth quarter involving five car wash locations for $25.2 million. For the full year, proceeds from sale-leasebacks totaled $89.9 million. These strategic financial activities enhance the company’s financial flexibility and support its growth initiatives, indirectly contributing to the reliability of mister car wash hours and services.
Fiscal Year 2023 Outlook: Continued Growth on the Horizon
Looking ahead to fiscal year 2023, Mister Car Wash has provided an initial outlook that projects continued growth. The company anticipates net revenues to reach between $925 and $960 million, compared to $876.5 million in 2022. While comparable stores sales growth is expected to moderate to between 0.0% and 3.0%, this is against the backdrop of a 5.0% growth in 2022, indicating sustained performance.
Adjusted net income is projected to be between $100 and $115 million, and Adjusted EBITDA is expected to range from $277 to $297 million. The company plans to continue its expansion strategy, aiming to open approximately 35 new greenfield locations in 2023, further increasing customer access and potentially optimizing mister car wash hours across a broader network. Capital expenditures are estimated to be between $220 and $270 million, with a significant portion allocated to new store growth. Sale-leasebacks are projected to generate between $110 and $130 million, further supporting the company’s financial strategy and growth plans.
The outlook for 2023 acknowledges that comparable stores sales growth may be lower in the first half of the year due to more challenging year-over-year comparisons and the natural ramp-up period for new stores opened in 2022. However, the overall trajectory remains positive, driven by continued demand for car wash services and the company’s strategic initiatives. This forward-looking perspective suggests that Mister Car Wash is well-positioned to maintain and enhance its services, ensuring customers can continue to rely on convenient mister car wash hours and high-quality car cleaning.
Mister Car Wash: A Brand Committed to Excellence
Mister Car Wash’s financial results for 2022 underscore its position as a leader in the car wash industry. The company’s growth in revenue, membership, and locations, coupled with strong profitability and a positive outlook for 2023, demonstrates its operational excellence and customer appeal. For customers seeking reliable and high-quality car wash services, Mister Car Wash’s financial health translates to a dependable brand that is committed to maintaining excellent service and convenient access. Whether you are a member of the Unlimited Wash Club or a first-time visitor, Mister Car Wash strives to provide a shining experience. To find the nearest location and confirm mister car wash hours, please visit https://mistercarwash.com.
Disclaimer:
This report is based on information derived from Mister Car Wash, Inc.’s official press release regarding its financial results for the fourth quarter and fiscal year 2022. For detailed financial information and reconciliations to GAAP measures, please refer to the original press release and SEC filings available on the Mister Car Wash investor relations website: https://ir.mistercarwash.com/. This is not financial advice and should not be considered as such. Forward-looking statements are subject to risks and uncertainties, and actual results may differ materially.
References:
- Mister Car Wash, Inc. Press Release: “Mister Car Wash Announces Fourth Quarter and Fiscal Year 2022 Financial Results.” February 23, 2023.
- Mister Car Wash, Inc. Investor Relations Website: https://ir.mistercarwash.com/
- Mister Car Wash Official Website: https://mistercarwash.com/
