Company: BCO
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0000078890-25-000154
Chunk: 40

Company: BRINKS CO
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 40
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 functional currencies. As net investment hedges for accounting purposes, we elected to use the spot method to assess effectiveness for these derivatives that are designated as net investment hedges. Accordingly, changes in fair value attributable to changes in the undiscounted spot rates are recorded in the foreign currency translation adjustments component of accumulated other comprehensive income (loss) and will remain there until the hedged net investments are sold or substantially liquidated. We have elected to exclude the spot-forward difference from the assessment of hedge effectiveness and are amortizing this amount separately on a straight-line basis over the term of the cross currency swaps. See Note 7 for more details regarding these contracts.

Other Operating Income and Expense

Other operating income (expense) includes amounts included in segment results as well as income and expense not allocated to segments.

                                                                                      %              
  (In millions, except for percentages)                      2025                  2024      change  
  Foreign currency items:                                                                            
 ─────────────────────────────────────────────────────────────────────────────────────────────────────
  Transaction gains (losses)                                    $       10.9      (5.5)      fav     
  Derivative instrument gains (losses)                     (12.6)                  13.4      unfav   
  Gains (losses) on sale of property and other assets           —                   0.8      (100)   
  Impairment losses                                         (1.6)                 (0.5)      unfav   
  Indemnification asset adjustments                         (0.9)                     —      unfav   
  Share in earnings of equity affiliates                      0.8                   0.8      —       
  Royalty income                                              1.9                   2.1      (10)    
  Other gains (losses)                                      (0.3)                   1.5      unfav   
  Other operating income (expense)                              $      (1.8)       12.6      unfav   

Nonoperating Income and Expense

Interest expense

                                             Three Months                                               
                                             Ended March 31,                                            
  (In millions, except for percentages)                           2025                2024      change  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────
  Interest expense                                                $         57.5      55.8      3       

Interest expense was higher in the first three months of 2025 compared to the first three months of 2024 due to higher interest rates