Brink's Cuts FY21 Outlook; Sees Q3, Q4 Revenue Below Consensus

Brink's Company BCO lowered its FY21 non-GAAP guidance to reflect the spread of the Covid-19 Delta variant and its expected impact.
The company now expects full-year revenue of $4.1 billion - $4.2 billion (prior view $4.2 billion - $4.6 billion) versus the consensus of $4.33 billion.
The company sees a non-GAAP operating profit margin of ~11.2% (prior 11.1% - 12.1%).
Management cited the persistence of the global pandemic as the primary driver behind lower-than-expected revenue in several key markets in Europe, North America, and Latin America.
Labor shortages and inflationary cost pressures are affecting near-term performance in the U.S.
The company also guided Q3 revenue of $1.03 billion – $1.07 billion versus the consensus of $1.12 billion.
The company expects Q4 revenue of $1.04 billion – $1.10 billion versus the consensus of $1.19 billion.
Meanwhile, Brink's expects FY22 profit growth in the high teens percentage. Initial targets for FY22 include adjusted EBITDA growth to $785 million - $825 million.
Price Action: BCO shares are trading lower by 2.05% at $65.45 on the last check Thursday.