Brink’s (NYSE:BCO) Releases Quarterly Earnings Results, Beats Expectations By $0.25 EPS

Brink’s (NYSE:BCO) posted its quarterly earnings results on Wednesday. The business services provider reported $2.46 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.21 by $0.25, FiscalAI reports. Brink’s had a net margin of 3.30% and a return on equity of 87.18%. The company had revenue of $1.37 billion for the quarter, compared to analyst estimates of $1.39 billion. During the same quarter in the previous year, the firm posted $2.08 earnings per share. The company’s quarterly revenue was up 3.0% compared to the same quarter last year.

Here are the key takeaways from Brink’s’ conference call:

• Third-quarter results showed strong operating leverage: adjusted EBITDA rose 8% to $274 million, EPS increased 18% to $2.46, and adjusted EBITDA margin expanded 90 basis points to 19.9%. Trailing 12-month free cash flow was $413 million, and Brink’s maintained its full-year outlook.
• AMS/DRS organic growth accelerated to more than 16%, its 15th consecutive quarter of at least mid-teens growth, with broad-based gains and robust pipelines. Management cited an 80% year-over-year increase in North American DRS backlog and expects further AMS/DRS growth acceleration in Q4.
• Brink’s expects the NCR Atleos acquisition to close in early January 2027, with regulatory reviews progressing and clearances completed in two areas. The company reaffirmed its $200 million synergy target, expects to capture it sooner, and is assessing additional cost-saving opportunities.
• To address U.K. antitrust concerns, Brink’s agreed to divest NoteMachine and TestLink, businesses with about $120–$130 million in revenue and roughly $30 million in EBITDA; sale proceeds are not yet known. Management said the divestiture was contemplated in the deal’s returns and synergy plans.
• After the acquisition, Brink’s expects leverage to temporarily exceed 3x and plans to prioritize aggressive debt repayment in 2027, targeting leverage below 3x by year-end. Q4 revenue guidance also includes a foreign-exchange headwind, continued Malaysia deconsolidation effects, and slower global-services growth.

Brink’s Trading Up 8.4%

NYSE:BCO traded up $9.08 during midday trading on Wednesday, reaching $117.08. 481,832 shares of the stock traded hands, compared to its average volume of 467,500. The stock has a market capitalization of $4.82 billion, a P/E ratio of 26.78 and a beta of 0.95. The company has a fifty day moving average of $106.31 and a 200 day moving average of $110.42. The company has a debt-to-equity ratio of 8.80, a quick ratio of 1.62 and a current ratio of 1.62. Brink’s has a 12 month low of $91.05 and a 12 month high of $136.37.

Brink’s Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 1st. Shareholders of record on Monday, November 2nd will be given a $0.2550 dividend. The ex-dividend date is Monday, November 2nd. This represents a $1.02 annualized dividend and a yield of 0.9%. Brink’s’s payout ratio is presently 23.61%.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Wall Street Zen upgraded Brink’s from a “hold” rating to a “buy” rating in a research note on Saturday, October 24th. Weiss Ratings lowered shares of Brink’s from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, October 8th. Two analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $154.00.

About Brink’s

Brink’s Company (NYSE: BCO) is a global provider of security and logistics services. The company helps businesses, financial institutions, retailers, governments and other organizations protect, transport and manage cash, valuables and other high-value assets.

Its services include secure transportation, cash-in-transit operations, ATM replenishment and servicing, cash processing, vaulting, cash management and related payment services. Brink’s also provides international logistics for precious metals, jewelry, gemstones, artwork and other valuables through its Brink’s Global Services business.

Founded in 1859, Brink’s serves customers across North America, Latin America, Europe, the Middle East, Africa and the Asia-Pacific region through a worldwide network of employees, vehicles and facilities.