We expect modest margin expansion in fiscals 2018 and 2019, reflecting fixed-cost leverage through enrollment growth, tuition increases, and an increased contribution from higher margin lease consortium centers and back-up care and education advisory services. Bright Horizons has significant revenue and profit concentration in the U.S. and operating performance is susceptible to a recession. During the last recession, revenue growth slowed to the low-single-digit percentage area (from low double-digit) from lower enrollment. Still, the company has some flexibility in its cost structure, as it was able to maintain margins. Along with the health of the economy and unemployment rates, another factor that drives demand for childcare services is birthrate, specifically the number of children under five years old. This demographic
