VIRGINIA(BullionStreet): The Brink's Company (NYSE:BCO) has said that theft of diamonds shipped by brinnks in a Swiss-bound plane at the Brussels Airport may bot have significiant impact on Q1 earnings of the company.
An armed gang attacked the plae on Wednesday and stoled an unconfirmed amount of diamonds, a portion of which was being shipeed by Brink's.Brink's said it has a longstanding insurance program in place to cover its losses. The total loss exposure has not been verified, and the loss exposure for Brink's has not been disclosed. Brinks has notified all of its customers affected by the robbery, who will be reimbursed promptly for all confirmed losses.
While Brink's expects the loss to have a significant impact on its first-quarter earnings, the robbery does not materially affect its full-year profit forecast. As a result, the company reaffirmed the full-year financial outlook it provided on February 1, which called for a segment profit margin between 6.0% and 6.5% on organic revenue growth of 5% to 8%. Brink's is working with customers and the authorities to resolve all outstanding issues relating to this incident as quickly as possible.About The Brink's Company The Brink's Company (NYSE:BCO) is the world's premier provider of secure transportation and cash management services.
Recently, Tom Schievelbein, Chairman, President and CEO of Brink's had forecasted 2013 to be a difficult year when compared to 2012.Eliminating the operating losses from these businesses improves the overall earnings power of Brink's by 31 cents per share on a non-GAAP basis, and enables our new leadership team to focus on achieving sustainable returns in our remaining markets, which continue to be very challenging.
"Fourth-quarter earnings from continuing operations declined due primarily to lower operating results in Latin America, partially offset by improvement in Europe and North America. In 2013, it will be very difficult to match 2012 earnings due to an increase in productivity investments and our assumption of currency devaluation in Venezuela. We expect our first-quarter year-over-year comparison to be particularly challenging given the strong Latin America performance last year. In light of these factors, we expect our 2013 segment margin rate to be between 6% and 6.5% on organic revenue growth of 5% to 8%. Our long-term margin goal of 10% is still in place, although it's clear that achieving it will take longer than originally planned."
The Brink's Company (NYSE:BCO) is the world's premier provider of secure transportation and cash management services.
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