Brinks Company (BCO)
Solvency ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 21.19 | 24.07 | 20.47 | 16.85 | 16.61 | 13.54 | 9.65 | 10.34 | 11.16 | 29.27 | 24.21 | 23.96 | 22.04 | 22.30 | 32.06 | 23.06 | 25.36 | 54.48 | 42.87 | 46.35 |
Brinks Company has consistently maintained a very strong solvency position over the years, as evidenced by its low debt-to-assets, debt-to-capital, and debt-to-equity ratios which have all been consistently at 0.00 across all the quarters from March 2020 to December 2024.
The financial leverage ratio, which is an indicator of the company's financial risk, shows some fluctuation but generally demonstrates a declining trend over the period. The high financial leverage ratio in the initial quarters of 2020 gradually decreased and stabilized at lower levels by the end of 2023 and into 2024. This indicates that the company has been reducing its reliance on debt to finance its operations and investments, thereby improving its financial stability and reducing the risk associated with debt.
Overall, Brinks Company appears to have a solid and conservative capital structure with minimal debt levels relative to its assets, capital, and equity. This suggests that the company is well-positioned to meet its financial obligations and has a strong capacity to weather economic downturns or financial challenges.
Coverage ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 1.64 | 1.78 | 1.99 | 2.31 | 2.66 | 3.23 | 4.00 | 4.36 | 4.67 | 4.90 | 5.15 | 5.07 | 4.99 | 4.92 | 4.91 | 4.33 | 4.18 | 3.71 | 3.48 | 3.99 |
Based on the provided data, Brinks Company's interest coverage ratio has shown fluctuations over the observed periods. The interest coverage ratio measures the company's ability to meet its interest obligations using its operating income. A higher interest coverage ratio indicates a stronger ability to cover interest expenses.
Brinks Company's interest coverage ratio has generally been above 3, indicating that the company has consistently generated sufficient operating income to cover its interest expenses. The interest coverage ratio improved from 3.99 on March 31, 2020, to a peak of 5.15 on June 30, 2022, before declining to 1.64 on December 31, 2024.
The declining trend in the interest coverage ratio from June 30, 2022, to December 31, 2024, is a point of concern as it indicates a potential deterioration in the company's ability to cover its interest payments with operating income. A low interest coverage ratio may suggest financial distress and the need to closely monitor Brinks Company's financial health and debt servicing capabilities moving forward.