Blue Bird Corporation (BLBD) Closes $600M Credit Refi, Extends Maturity to 2031

Blue Bird completed a $600 million credit facility refinancing, doubling its borrowing capacity and extending maturity to 2031. The new facility includes a $300 million revolving credit line and a $300 million term loan. The company had $86 million in carry-over debt and $670 million in available liquidity at closing. The refinancing reduced borrowing costs and increased the maximum leverage ratio. BMO and Bank of America led the facility.

Blue Bird Corporation (BLBD) closed a $600M senior secured credit facility, replacing its $250M facilities. The new agreement includes a $300M revolving credit facility and a $300M delayed draw term loan, extending maturity to 2031. The funds will refinance debt and support projects. At closing, BLBD had $86M debt drawn and $670M in available liquidity. The interest rate margin decreased, and the maximum net leverage ratio increased to 3.25x.

Blue Bird Corp. amended its credit facilities, increasing total capacity to $600 million and extending maturities to 2031. The revised terms include a $300 million revolving credit facility and a $300 million delayed draw term loan, with reduced pricing and enhanced covenant flexibility. Additionally, its Micro Bird subsidiaries secured a C$35 million line of credit with TD Bank, backed by a $30 million letter of credit from Bank of Montreal.

Blue Bird (BLBD) stock fell 4.4% despite a solid quarter. Greenbrier (GBX) reported a 31.6% revenue decline, missing estimates, and its stock also dropped 4.4%. Oshkosh (OSK) beat revenue and EPS estimates, with stock unchanged. Federal Signal (FSS) saw 18.7% revenue growth, exceeding EPS and EBITDA estimates, and its stock rose 12.8%.

Blue Bird (NASDAQ: BLBD) shares fell 6.4% after Q3 results. The company reported revenue of $517.2M, above analysts’ $498.1M, with 29.9% YoY growth and 42.9% higher sales volume. Adjusted EPS was $1.28 vs $1.30 consensus, and free cash flow margin fell to 4.2% from 13.1%. Guidance was reaffirmed, not raised.

Blue Bird (NASDAQ:BLBD) reported Q2 CY2026 revenue of $517.2 million, up 29.9% year over year and 3.8% above Wall Street estimates, according to the company. Non-GAAP adjusted EPS was $1.28, up from $1.19 but 1.6% below consensus. The company guided full-year revenue to about $1.75 billion and expected EPS growth to $5.28.