Scaffolding firm's data center push hits margins

Brand Industrial Services, operating as BrandSafway, experienced a significant decrease in first-quarter earnings. This decline is attributed to increased expenses and substantial investments associated with its strategic expansion into data center construction. The company, under the ownership of private equity firm Clayton, Dubilier & Rice, reported a 20% year-over-year drop in earnings before interest, taxes, depreciation, and amortization. This key financial metric fell to $71 million, reflecting the financial strain of this ambitious pivot towards the burgeoning data center market.