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The Brink’s Company

The Brink’s Company (NYSE: BCO) is an American security and protection company based out of Virginia. It provides logistics and security solutions to banks, financial institutions, and ATM management service providers as well as businesses for the transport of currency and high-value items like jewelry and diamonds. Brink’s is a leader in its industry and has a presence in 41 countries outside the US.

Investors looking to buy security and cash management stocks can consider The Brink’s Company as one option. The company reported its Q22020 earnings towards the end of July 2020. Revenue for the quarter was $826 million, down 10% from revenues of $914 during Q22019. Revenues in North and South America were down 21% and 29% respectively. However, the international markets did well as revenues from the rest of the world grew 29% year-over-year.

GAAP net earnings rose 8% to $0.27 per share from $0.25 per share in the same quarter the prior year. Doug Pertz, CEO, Brink’s Company, said, “When we reflect on where we were in April, we’re very encouraged by the progressively positive impact of our cost reduction actions and what they have had on implementation during the quarter. We’re also encouraged by the strong revenue recovery we saw in June, as economies began to reopen.” He further added, “And together, with additional longer-term cost reductions, they (recent cost reductions) should be key drivers for margin growth in the second half of this year and even more in 2021, when we also expect additional revenue recovery.”

Brink’s logistics recently saw also its US customers, who restarted their businesses, accept cash from customers and allow the company to serve them.

Towards the end of August, Brink’s Company announced a $50 million share repurchase program. The company had announced an accelerated share repurchase program agreement back in February 2020. However, the outbreak of the pandemic led to the suspension of that program. The $50 million repurchase will be part of that original repurchase program. This news is definitely a plus point for the company’s shareholders.

BCO stock closed at $48.2 on 2nd September 2020, up 10.5% for the past month.


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