Brinks Q1 2025 Earnings Report
Key Takeaways
Brink's delivered strong performance in the first quarter of 2025 with EBITDA and EPS exceeding the top end of guidance. The company saw 6% organic revenue growth, driven by over 20% growth in ATM managed services and digital retail solutions. Operating profit margin improved by 40 basis points.
Revenue reached $1,247 million, a 1% total growth and 6% organic growth compared to the prior year.
Operating profit was $119 million, a 1% decrease compared to the prior year, but non-GAAP operating profit increased by 4%.
GAAP EPS was $1.19, a 9% increase, while non-GAAP EPS was $1.62, a 2% decrease.
The company repurchased over 1.3 million shares year-to-date and affirmed its 2025 framework and introduced second-quarter 2025 guidance.
Brinks
Brinks
Brinks Revenue by Geographic Location
Forward Guidance
Brink's affirmed its full-year 2025 framework and provided guidance for the second quarter of 2025.
Positive Outlook
- Affirming full-year 2025 organic revenue growth guidance in the mid-single digits.
- Anticipating mid to high teens organic revenue growth in AMS/DRS for the full year.
- Forecasting adjusted EBITDA margin expansion of 30-50 basis points for the full year.
- Expecting free cash flow conversion of 40-45% for the full year.
- Planning to return over 50% of free cash flow to shareholders in 2025.
Challenges Ahead
- Second-quarter 2025 revenue guidance range of $1,250 million to $1,300 million.
- Second-quarter 2025 non-GAAP adjusted EBITDA guidance range of $205 million to $225 million.
- Second-quarter 2025 non-GAAP EPS guidance range of $1.25 to $1.65.
- Guidance assumes continuation of current economic trends which are uncertain.
- Guidance reflects management's current assumptions regarding variables that are difficult to accurately forecast, including currency impacts and volatile economic conditions.