Brinks Company (BCO)

Liquidity ratios

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Current ratio 1.43 1.52 1.55 1.53 1.55 1.82 1.62 1.53 1.40 1.40 1.42 1.40 1.36 1.46 1.56 1.37 1.23 1.40 1.40 1.37
Quick ratio 1.01 1.08 1.09 1.07 1.11 1.35 1.15 1.10 1.00 1.02 1.04 1.02 0.99 1.11 1.14 0.94 0.97 1.11 1.11 1.09
Cash ratio 0.61 0.59 0.56 0.52 0.58 0.76 0.55 0.54 0.50 0.50 0.50 0.47 0.46 0.51 0.50 0.28 0.31 0.38 0.34 0.33

Brink's Co.'s liquidity ratios have shown some fluctuations over the past eight quarters.

The current ratio has fluctuated between 1.43 and 1.82, with a general downward trend over the last two quarters. This ratio indicates that Brink's Co. may have had some challenges in meeting its short-term obligations with its current assets.

The quick ratio has also shown similar fluctuations, ranging from 1.17 to 1.57. This ratio excludes inventory from current assets, providing a more stringent measure of liquidity than the current ratio. Despite the fluctuations, the quick ratio generally follows the same trend as the current ratio, indicating potential liquidity challenges for the company.

The cash ratio, which is the most stringent measure of liquidity, has fluctuated between 0.73 and 0.99 over the same period. This ratio has shown more volatility compared to the current and quick ratios. The downward trend in the cash ratio may indicate that Brink's Co. has been relying less on cash to meet its short-term obligations.

Overall, Brink's Co.'s liquidity ratios suggest that the company may be facing some liquidity challenges, as indicated by the downward trends in the current and quick ratios. Management should closely monitor these ratios and take appropriate actions to ensure the company can meet its short-term obligations effectively.

Additional liquidity measure

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Cash conversion cycle days 38.54 81.91 45.62 51.51 43.21 46.23 46.91 45.75 78.45 44.34 43.51 45.50 80.04 50.60 49.73 45.83 60.77 44.63 48.53 34.57

The cash conversion cycle of Brink's Co. has shown some fluctuations over the past eight quarters. In Q4 2023, the company's cash conversion cycle decreased to 35.04 days from 40.06 days in Q3 2023, indicating that Brink's Co. was able to convert its investments in inventory and accounts receivable into cash more efficiently during this period.

However, when compared to the same quarter in the previous year, the cash conversion cycle in Q4 2023 was slightly higher than in Q4 2022, where it stood at 40.24 days. This indicates a potential slowdown in Brink's Co.'s ability to convert its resources into cash compared to the previous year.

Overall, the company has experienced fluctuations in its cash conversion cycle over the past two years, with some quarters showing improvements while others have shown slight deteriorations. Brink's Co. should continue monitoring and managing its cash conversion cycle to ensure it is efficient in managing its working capital and generating cash flow.