Company: BCO
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0000078890-25-000154
Chunk: 37

Company: BRINKS CO
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 37
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 are not part of the Company's operations and revenue generating activities. These items include non-cash amortization expense for acquisition-related intangible assets, as well as integration, transaction, restructuring and certain compensation costs. All of the items are significantly impacted by the timing and nature of our acquisitions and dispositions, and many are inconsistent in amount and frequency. Management has excluded these amounts when evaluating internal performance. Therefore, we have not allocated these amounts to segment or Corporate results and have excluded these amounts from non-GAAP results.

These items are described below:

2025 Acquisitions and Dispositions

• Amortization expense for acquisition-related intangible assets was $14.4 million in the first three months of 2025.

• Restructuring costs related to acquisitions were $2.0 million in the first three months of 2025.

• Net charges of $0.9 million were incurred for post-acquisition adjustments to indemnification assets related to previous business acquisitions.

• We incurred $0.4 million in integration costs in the first three months of 2025.

• Transaction costs related to business acquisitions were $0.5 million in the first three months of 2025.

2024 Acquisitions and Dispositions

• Amortization expense for acquisition-related intangible assets was $14.5 million in the first three months of 2024.

• We incurred $0.3 million in integration costs in the first three months of 2024.

• Compensation expense related to the retention of key PAI employees was $0.1 million in the first three months of 2024.

Argentina highly inflationary impact Beginning in the third quarter of 2018, we designated Argentina's economy as highly inflationary for accounting purposes. As a result, Argentine peso-denominated monetary assets and liabilities are now remeasured at each balance sheet date to the currency exchange rate then in effect, with currency remeasurement gains and losses recognized in earnings. In addition, nonmonetary assets retain a higher historical basis when the currency is devalued. The higher historical basis results in incremental expense being recognized when the nonmonetary assets are consumed. In the first three months of 2025, we recognized $6.3 million in pretax charges in operating profit related to highly inflationary accounting, including currency remeasurement losses of $4.8 million. In the first three months of 2024, we recognized $1.6 million in pretax charges in operating profit related to highly inflationary accounting. Highly inflationary adjustments