Blue Bird announced that West Aurora School District 129 will receive 27 new electric school buses and 28 charging stations, funded by a $930,000 rebate from ComEd. The order, which was disclosed on November 17, 2025, expands Blue Bird’s presence in northern Illinois and adds a substantial number of vehicles to its electric‑bus portfolio.
The order comes at a time when Blue Bird’s quarterly results have been strong. In Q3 2025, the company reported revenue of $398 million, up 20% year‑over‑year, and earnings per share of $1.19, beating analyst expectations of $1.00. The 33% increase in electric‑vehicle sales that quarter was driven by robust demand from school districts and the availability of state and utility rebates, which helped offset the impact of rising component costs. Blue Bird’s adjusted EBITDA margin expanded to 14.5%, up from 12.8% in the prior year, reflecting improved pricing power and operational leverage in the electric‑bus segment.
Investors reacted positively to the order, with analysts noting that the rebate‑backed fleet expansion reinforces Blue Bird’s leadership in the growing electric‑school‑bus market. The company’s guidance for fiscal 2025 was raised to a net revenue target of $1.45 billion and an adjusted EBITDA target of $210 million, signaling confidence that the company can sustain its growth trajectory despite supply‑chain headwinds. Management highlighted the role of government incentives and the company’s electrification‑as‑a‑service model in driving new orders.
The order also underscores several tailwinds for Blue Bird. Illinois’s Clean Energy Goals and the federal Clean School Bus Program create a favorable policy environment that encourages fleet electrification. Highland Electric Fleets’ partnership provides a turnkey solution that reduces the capital burden for districts, making Blue Bird’s buses more attractive. Additionally, the buses’ vehicle‑to‑grid capability offers future revenue streams and grid‑balancing benefits, enhancing the long‑term value proposition for both the company and its customers.
Headwinds remain, however. Tariff increases on Chinese components have pressured input costs, and the company has had to adjust pricing in some markets to maintain margins. Blue Bird’s CFO noted that while the company is managing these costs, continued vigilance will be required as tariffs and supply‑chain disruptions evolve. The company’s focus on cost discipline and strategic investments in high‑margin segments is expected to mitigate these risks over the medium term.
In summary, the West Aurora order represents a significant milestone for Blue Bird, reinforcing its market leadership, expanding its electric‑bus backlog, and benefiting from a supportive regulatory and incentive landscape. The company’s recent financial performance and raised guidance suggest that it is well positioned to capitalize on the accelerating demand for clean school transportation while navigating ongoing supply‑chain challenges.
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