FX.co ★ Brink's Q3 Net Profit Slips, But Revenue Up; Cuts FY Outlook Below View; Pre-Market Stock Down

Brink's Co. (BCO), a company specializing in cash and valuables management, announced on Wednesday a decrease in earnings for the third quarter, influenced by significant headwinds and a $10 million annual increase in security-related losses, largely due to a major loss incident.

Furthermore, the company's financial performance fell short of analysts' expectations. As a result, Brink's has adjusted its full-year forecast downwards, due to currency fluctuations and challenging market conditions affecting its global services.

In the third quarter, Brink's reported a net income of $29 million, marking a 37% decline compared to the previous year. Earnings per share decreased by 33% to $0.65 year-over-year.

Excluding certain items, earnings were $217 million, reflecting a 6% decline from the previous year. Adjusted earnings per share dropped 27% to $1.51 compared to the corresponding period last year.

Thomson Reuters had polled three analysts who on average had projected the company to achieve earnings of $1.79 per share for the quarter. It is customary for analysts' forecasts to exclude special items.

Operating profit experienced a decline of 19% year-over-year, settling at $112 million. However, revenue increased to $1.259 billion, showing a 3% rise from the previous year, though it did not meet the analysts' consensus estimate of $1.27 billion.

For the full year, Brink's now anticipates adjusted income from continuing operations to range from $6.50 to $6.80 per share, a downgrade from the earlier projection of $7.30 to $8.00 per share.

Revenue forecasts have been revised to between $5 billion and $5.050 billion, adjusted from previous guidance of $5.075 billion to $5.225 billion.

Analysts generally expect the company to earn $7.45 per share on $5.07 billion in revenue for the year.

In pre-market trading on the New York Stock Exchange, Brink's shares fell by 4.76% to $99.