CARSTAR Reports Record Revenue in 2013
June 12, 2014—CARSTAR Auto Body Repair Experts announced Wednesday that it generated record revenue in 2013, lead by weather, technology and an improving economy.
With more than 440 franchised locations around the country, CARSTAR shops generated $641 million in revenue in 2013, up from $603 million in 2012.
Part of that growth, CARSTAR said, is the influx of private equity investment, which is driving consolidation among small chains and vertical alignment with suppliers.
“When CARSTAR began, the collision business was very much a ‘seat of the pants’ type operation with few standards, processes or programs,” said David Byers, CEO at CARSTAR. “Today, we have helped turn it into a sophisticated industry that is recognized by the leading insurance companies, Wall Street and top investors.”
This year, CARSTAR expects to see over $650M in revenue, based on a strong first quarter that saw revenue growth from storm damage-related repairs across the continent.
Other factors for its projected growth include the use of increasingly advanced vehicle technology, which increases the cost of repairs, and an improving economy.
“We expect to see demand for high-quality vehicle repairs continue to grow at the consumer level as the economy improves,” said David Byers, CEO of CARSTAR. “People are buying new vehicles, which are more expensive to repair, or spending out-of-pocket to repair their existing vehicle. In addition, Mother Nature delivered a tough winter across North America, and we’re seeing those damaged vehicles in the repair cycle now.”
For more information about CARSTAR, visit carstar.com.