By Jim Utter
Director of Journalism
Mister Car Wash’s report of 2025 first quarter earnings released late last week surpassed analysts’ expectations and was filled with some positive news for the company.
The Tucson, Arizona-based company reported first-quarter profit of $27 million, including a 9 percent revenue jump over the same period last year. MCW also reported a 6 percent increase in comparable sales growth (most analysts predicted around 3.6 percent).
“I am proud of our team for building on last year’s momentum and delivering a solid start to 2025,” John Lai, Chairperson and CEO of MCW, said in a statement. “Record first quarter revenue and EBITDA (earnings before interest, taxes, depreciation, and amortization) exceeded our expectations, reflecting our team’s unwavering dedication and strategic execution.
“Our performance was highlighted by strong comp store sales growth driven by an acceleration in our retail business, coupled with the ongoing strength of our UWC (Unlimited Wash Club) subscription business.”
Among the financial highlights from the first quarter:
- Revenue: $261.7 million, up 9 percent year-over-year.
- Earnings per share: $0.11, beating the forecast of $0.10.
- Adjusted EBITDA: $86 million, a 14 percent increase.
- Net income: $35 million.
- Debt reduction: $62 million.
- Free cash flow: $32.47 million (up from $23.85 million year-over-year).
“Q1 marked eight consecutive quarters of overall comp growth for Mister and the first back-to-back quarters of positive retail comps in three years, which also helped fuel better than expected UWC member growth,” Lai said in a conference call following the release of the report.
“In terms of industry dynamics, we’ve seen a steady reprieve to competitive intrusion with a number of competitor newbuilds opening within the three-mile radius of Mister becoming less intense since the peak of 2023.
“We view this along with some of the recent industry restructurings as an opportunity to extend our leadership position and build upon our strong foundation.”
MCW generates its primary revenue through its single-use wash services, package wash service sales, and monthly subscription services (UWC). It primarily sells to individual vehicle owners through on-site sales and mobile apps. The company also serves several commercial clients.
MCW stock traded up 3.4 percent to $7.09 immediately after the reporting.
Founded in Houston, Texas in 1969, headquartered Mister Car Wash is the largest car wash chain in the United States with nearly 520 locations spread across 10 states.
