Brink's Company (PTY) Q2 2026 Earnings Report

The call emphasized multiple meaningful positives — strong AMS/DRS momentum, record margin expansion, double-digit EBITDA growth, robust free cash flow conversion, raised profit expectations, and substantial progress toward closing the NCR Atleos acquisition — while acknowledging some near-term timing-related softness across regions, reduced FX tailwinds, outstanding regulatory/licensing items and a temporary leverage increase at close. Overall, the company presented confidence in continued organic acceleration in the back half, clear margin and cash conversion targets, and a constructive acquisition roadmap.

Brink’s reiterated its 2026 framework but raised profit expectations after a strong Q2, guiding to mid‑single‑digit total organic revenue growth with AMS/DRS growing mid‑ to high‑teens, full‑year EBITDA margin expansion of 30–50 bps and EBITDA‑to‑free‑cash‑flow conversion of 40–45% (Q2 TTM conversion 46% on $468M FCF). Q3 guidance: revenue $1.365–1.415B (slight sequential organic acceleration), adjusted EBITDA $263–283M (≈19.6% margin at the midpoint, ~60 bps expansion) and EPS $2.23–2.63; FX is now expected to be a 1.5–2.5% full‑year tailwind using yesterday’s rates (Q3 FX flat to <1%). Q2 results that supported the raise included revenue +7% (+4% constant currency), adjusted EBITDA $257M (+11%), EBITDA margin 18.5% (+70 bps), operating profit $190M (13.6%), EPS $2.13 on 41.5M diluted shares, interest $63M, effective tax rate 27.3%, D&A $64M (FY ≈$250M). Capital/leverage targets: net leverage 2.7x at quarter end (may exceed 3x at close of the NCR Atleos deal), planned standalone reduction to ~2.3x in 2026, target <3x by end‑2027 and a 2–3x long‑term range with ≥50% of FCF to shareholder returns once that range is restored.