UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $1.00 per share BCO New York Stock Exchange FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ C ...

Financial Performance - Consolidated revenues for 2022 increased by $335.3 million to $4,535.5 million, representing an 8% increase compared to 2021, driven by organic growth in Latin America, North America, Rest of World, and Europe[131] - Non-GAAP operating profit rose by $79.8 million to $550.3 million, reflecting organic increases across all regions and the favorable impact of business acquisitions[136] - Income from continuing operations attributable to Brink's shareholders increased by $70.4 million to $173.5 million, with diluted earnings per share rising to $3.63 from $2.06 in 2021[135] - Non-GAAP diluted earnings per share from continuing operations increased to $5.99, up from $4.75 in 2021, marking a 26% increase[137] - Total operating profit increased by 11% to $699.1 million, with a non-GAAP operating profit of $550.3 million, reflecting a 17% increase[139] - The company reported a net income from continuing operations of $173.5 million for 2022, significantly higher than $103.1 million in 2021[190] - The non-GAAP margin improved to 12.1% in 2022, up from 11.2% in 2021[187] - The diluted EPS for 2022 was $5.99, compared to $4.75 in 2021, indicating a 26% increase year-over-year[190] Revenue Growth by Region - North America revenues increased by 13% to $1,584.1 million, driven by a 10% organic growth of $140.2 million and acquisitions contributing $41.6 million[139] - Latin America revenues rose by 8% to $1,210.6 million, with a significant 15% organic increase of $163.8 million, despite a negative currency impact of $82.1 million[139] - Europe revenues grew by 2% to $931.4 million, supported by a 9% organic increase of $85.1 million and acquisitions adding $43.1 million, offset by a currency impact of $114.1 million[139] - Rest of World revenues increased by 8% to $809.4 million, with a 14% organic growth of $104.5 million, despite a currency impact of $51.2 million[139] Costs and Expenses - The cost of revenues increased by 7% to $3,461.9 million, primarily due to higher labor and operational costs, partially offset by currency exchange impacts[132] - Selling, general, and administrative expenses rose by 9% to $687.0 million, influenced by organic labor increases and restructuring costs[132] - Corporate expenses decreased by $7.7 million to $148.8 million, primarily due to lower bad debt expenses and higher foreign currency transaction gains[150] Currency Impact - The unfavorable impact of currency exchange rates was $252.2 million, primarily driven by the euro and the Argentine peso[132] - The company recognized $41.7 million in pretax charges related to highly inflationary accounting in Argentina in 2022, including $37.6 million in currency remeasurement losses[158] - The Argentine peso declined approximately 42% against the U.S. dollar in 2022, following a 19% decline in 2021 and a 29% decline in 2020[301] - In 2022, the company recognized $37.6 million in pretax remeasurement losses due to currency fluctuations in Argentina, compared to $9.0 million in 2021 and $7.7 million in 2020[302] Strategic Initiatives - The company aims to enhance customer experience and operational excellence as part of its growth strategy, focusing on four strategic pillars: Growth and Customer Loyalty, Innovation, Operational Excellence, and Talent[125] - The company initiated a global restructuring plan expected to reduce workforce by 2,300 to 3,000 positions, aiming for annualized cost savings of $45 million to $55 million[153] - The company recognized $22.2 million in restructuring charges in 2022, primarily for severance costs, as part of its efforts to enable growth and reduce costs[153] Debt and Equity - As of December 31, 2022, total debt was $616.0 million, an increase of $436.1 million from the previous year[224] - Total equity increased to $570.2 million, up $317.6 million from 2021, primarily due to higher comprehensive income[224] - Debt as a percentage of capitalization decreased to 86% in 2022 from 92% in 2021, despite an increase in total debt[223] Cash Flow and Investments - Cash flows from operating activities increased by $1.9 million in 2022, primarily due to higher operating profit and an increase of $50 million in customer obligations[206] - Cash used for investing activities decreased by $123.5 million in 2022, primarily due to lower payments related to acquisitions compared to 2021[211] - Capital expenditures in 2022 amounted to $(182.6) million, an increase of $(14.7) million compared to 2021[211] Pension and Retirement Plans - The primary U.S. pension plan's ending funded status was $(24.0) million for 2022, with projected statuses of $(25.0) million in 2023 and $(24.8) million in 2024[240] - The company does not expect to make contributions to the primary U.S. pension plan until 2026[242] - The total projected payments from Brink's to U.S. retirement plans are estimated to be $401.8 million from 2023 to 2037, with $206.8 million allocated to UMWA plans and $124.3 million to Black Lung plans[248] Taxation - The effective income tax rate on continuing operations decreased to 18.3% in 2022 from 51.1% in 2021[174] - Non-GAAP effective tax rate for continuing operations was 30.3% in 2022, down from 33.6% in 2021[175] - The company recognized a $41.4 million income tax expense on a pre-tax income of $226.2 million in 2022, resulting in an effective tax rate of 18.3%[184] Acquisitions and Goodwill - The company has completed multiple business acquisitions, applying the acquisition method to allocate purchase prices based on estimated fair values[262] - Goodwill was not impaired as of October 1, 2022, with the fair value of each reporting unit exceeding its carrying value[268]

The Brink's Company (NYSE:BCO) Q4 2022 Earnings Conference Call February 22, 2023 8:30 AM ET Company Participants Jesse Jenkins - VP, IR Mark Eubanks - CEO Kurt McMaken - CFO Conference Call Participants George Tong - Goldman Sachs Tobey Sommer - Truist Securities Operator Welcome to The Brink's Company's Fourth Quarter and Full-Year 2022 Earnings. Brink's issued a press release detailing its fourth quarter and full-year 2022 results this morning. The company also filed an 8-K that includes the release and ...

Fourth-Quarter and Full-Year 2022 Earnings February 22, 2023 Safe Harbor Statements and Non-GAAP Results 2 These materials contain forward-looking information. Words such as "anticipate," "assume," "estimate," "expect," "target" "project," "model", "predict," "intend," "plan," "believe," "potential," "may," "should" and similar expressions may identify forward-looking information. Forward-looking information in these materials includes, but is not limited to, information regarding: 2023 outlook, including r ...

Financial Data and Key Metrics Changes - The company reported strong third quarter results with double-digit organic growth in revenue, operating profit, adjusted EBITDA, and EPS [6][7] - Revenue increased by 6% year-over-year, with organic growth at 13%, driven by strong performance in North America, Latin America, and the rest of the world [22][25] - Adjusted EBITDA rose by 11%, with a margin of 16.6%, up 80 basis points from the previous year [23][28] - EPS increased by 18% year-over-year, with a notable gain from the sale of a position in NGI [23][29] Business Line Data and Key Metrics Changes - The Digital Retail Solutions segment grew organically by over 20% in the first nine months of the year, indicating strong customer acceptance [11] - The ATM Management Services (AMS) business experienced over 50% organic growth year-to-date, driven by successful agreements and acquisitions [13][18] - The company expects the recent acquisition of Note Machine to contribute approximately $5 million in operating profit and $0.04 per share in the fourth quarter [9][18] Market Data and Key Metrics Changes - Organic growth in Europe was about 8%, while North America and Latin America saw double-digit growth [22] - The company faced a 14% negative impact from foreign exchange translation, primarily due to the Argentine Peso and Euro [23][25] Company Strategy and Development Direction - The company announced a global restructuring plan expected to yield $40 million in savings in 2023, focusing on sustainable fixed cost reductions [10][19] - The strategy includes a shift towards higher-margin services such as ATM Managed Services and Digital Retail Solutions [19][36] - The company remains committed to achieving mid to high single-digit organic revenue growth and 100 basis points of margin improvement annually [36] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future performance despite macroeconomic challenges, citing the resilience of the business [37] - The company anticipates continued operational momentum in organic growth and profit expansion through the fourth quarter [8][10] - Management acknowledged the impact of inflation and currency devaluations but emphasized the ongoing need for cash management services [48][50] Other Important Information - The company is adjusting its full-year free cash flow target to approximately $255 million, reflecting changes in restructuring and working capital [32] - The acquisition of Note Machine is seen as a strategic move to enhance the company's capabilities in the ATM outsourcing market [18][36] Q&A Session Summary Question: What factors influenced revenue guidance beyond FX? - Management indicated that the organic growth model remains intact despite FX challenges, with Note Machine expected to contribute significantly in Q4 [40][44] Question: How does the company view margin targets in light of labor cost inflation? - Management expects to maintain pricing and cost inflation strategies while continuing to drive productivity and efficiency [41][42] Question: What is driving the strong performance in AMS compared to hardware companies? - The company highlighted differences in business models, with AMS benefiting from managed services while hardware companies face supply chain issues [45][46] Question: Is macro uncertainty affecting customer behavior? - Management noted that while inflation pressures exist, the fundamental need for cash management services remains strong [48][50] Question: What indicators would signal a customer pullback in a recession? - Management indicated that store closures or reduced service frequency would be key indicators, but no such trends have been observed yet [52][54] Question: How does pricing power compare to historical trends? - Management stated that pricing has remained consistent, with a balanced split between volume and pricing contributing to organic revenue growth [55][57]

[Part I - Financial Information](index=2&type=section&id=Part%20I%20-%20Financial%20Information) Presents the company's comprehensive financial data, including statements, MD&A, market risks, and controls [Financial Statements](index=2&type=section&id=Item%201.%20Financial%20Statements) Presents The Brink's Company's unaudited condensed consolidated financial statements for the period ended September 30, 2022, along with detailed notes [Condensed Consolidated Balance Sheets](index=2&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Provides a snapshot of the company's assets, liabilities, and equity at specific reporting dates Key Balance Sheet Items | Balance Sheet Items (In millions) | Sep 30, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | **Total Current Assets** | $2,446.7 | $1,999.5 | | **Total Assets** | $5,933.4 | $5,566.7 | | **Total Current Liabilities** | $1,347.9 | $1,429.0 | | **Total Liabilities** | $5,614.2 | $5,314.1 | | **Total Equity** | $319.2 | $252.6 | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Details the company's revenues, expenses, and net income over specific periods Key Operating Metrics | Metric (In millions, except EPS) | Q3 2022 | Q3 2021 | 9 Months 2022 | 9 Months 2021 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $1,136.7 | $1,075.5 | $3,344.6 | $3,102.0 | | **Operating Profit** | $59.5 | $74.2 | $218.4 | $209.2 | | **Net Income Attributable to Brink's** | $19.2 | $19.0 | $125.6 | $55.6 | | **Diluted EPS (Continuing Operations)** | $0.41 | $0.38 | $2.63 | $1.11 | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) Reports changes in equity from non-owner sources, including foreign currency translation adjustments - The company reported a comprehensive loss attributable to Brink's of **$9.9 million** for Q3 2022, compared to a loss of **$4.1 million** in Q3 2021 For the nine-month period, comprehensive income was **$112.8 million** in 2022, a significant increase from **$41.0 million** in 2021[10](index=10&type=chunk) - Foreign currency translation adjustments were a significant factor, contributing a loss of **$42.2 million** in Q3 2022 and **$72.7 million** in the first nine months of 2022[10](index=10&type=chunk) [Condensed Consolidated Statements of Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Equity) Outlines changes in shareholders' equity, including net income, share repurchases, and dividends - Total equity increased from **$252.6 million** at December 31, 2021, to **$319.2 million** at September 30, 2022 The increase was primarily driven by net income of **$125.6 million**, partially offset by share repurchases and dividends[13](index=13&type=chunk) - During the third quarter of 2022, the company repurchased **501,560 shares** of its common stock for an aggregate of **$27.3 million** in cash[13](index=13&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Summarizes the cash inflows and outflows from operating, investing, and financing activities Summary of Cash Flow Activities | Cash Flow Activity (In millions) | Nine Months Ended Sep 30, 2022 | Nine Months Ended Sep 30, 2021 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $200.5 | $273.6 | | **Net cash used by investing activities** | $(112.1) | $(390.3) | | **Net cash provided by financing activities** | $291.9 | $234.6 | | **Increase in Cash, cash equivalents and restricted cash** | $262.2 | $79.6 | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Provides detailed explanations of accounting policies and financial data presented in the statements [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=38&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management analyzes the company's financial performance, liquidity, and capital resources for the reported periods [Results of Operations](index=39&type=section&id=RESULTS%20OF%20OPERATIONS) Details the company's revenue and operating profit performance, highlighting organic growth and currency impacts Consolidated Operating Results | Metric (In millions) | Q3 2022 | Q3 2021 | 9 Months 2022 | 9 Months 2021 | | :--- | :--- | :--- | :--- | :--- | | **GAAP Revenues** | $1,136.7 | $1,075.5 | $3,344.6 | $3,102.0 | | **GAAP Operating Profit** | $59.5 | $74.2 | $218.4 | $209.2 | | **Non-GAAP Operating Profit** | $126.8 | $115.9 | $362.9 | $316.6 | - For the first nine months of 2022, revenues increased **12%** on an organic basis, primarily due to higher volume and inflation-based price increases[189](index=189&type=chunk) - The company continues to monitor the impact of the COVID-19 pandemic, which has led to reduced customer volumes, changes in operating procedures, and increased costs[178](index=178&type=chunk) [Liquidity and Capital Resources](index=59&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) Discusses the company's cash flow, debt, and available credit facilities to meet its financial obligations - As of September 30, 2022, the company had **$320 million** available under its Revolving Credit Facility[276](index=276&type=chunk) Debt and Cash Position | Metric (In millions) | Sep 30, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | **Total Debt** | $3,371.7 | $2,966.7 | | **Cash and cash equivalents** | $1,019.0 | $710.3 | | **Net Debt (Non-GAAP)** | $2,390.8 | $2,291.1 | - The company repurchased **$27.3 million** of its stock in Q3 2022 and an additional **$150 million** via an Accelerated Share Repurchase (ASR) program that concluded in April 2022[280](index=280&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=67&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Identifies and describes the company's exposure to market risks, including interest rates and foreign currency - The company's primary market risks include interest rates, foreign currency exchange rates, and commodity prices, which are managed as part of an overall risk management program[291](index=291&type=chunk) [Controls and Procedures](index=67&type=section&id=Item%204.%20Controls%20and%20Procedures) Confirms the effectiveness of the company's disclosure controls and internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of the end of the reporting period[292](index=292&type=chunk) - There were **no changes** in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, the company's internal controls[293](index=293&type=chunk) [Part II - Other Information](index=69&type=section&id=Part%20II%20-%20Other%20Information) Contains additional required disclosures, including legal proceedings, equity sales, and regulatory exhibits [Legal Proceedings](index=69&type=section&id=Item%201.%20Legal%20Proceedings) Refers to specific notes in the financial statements for detailed information on ongoing legal matters - For information on legal proceedings, the report directs readers to **Note 14, "Contingent Matters,"** in the financial statements[298](index=298&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=69&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Provides details on the company's common stock repurchases and the utilization of proceeds Common Stock Repurchases | Period | Total Shares Purchased (Shares) | Average Price Paid per Share (USD) | | :--- | :--- | :--- | | July 2022 | — | $— | | August 2022 | 156,722 | (1) | | September 2022 | 344,838 | (1) | | **Q3 2022 Total** | **501,560** | **$54.36** | - The repurchases were made under a **$250 million** share repurchase program authorized in Q4 2021, which expires on **December 31, 2023**[300](index=300&type=chunk) [Exhibits](index=70&type=section&id=Item%206.%20Exhibits) Lists all supplementary documents filed with the report, including required certifications - Exhibits filed include CEO and CFO certifications pursuant to **Sections 302 and 906** of the Sarbanes-Oxley Act[302](index=302&type=chunk)

The Brink's Company (NYSE:BCO) Q2 2022 Earnings Conference Call August 3, 2022 8:30 AM ET Company Participants Ed Cunningham - Vice President, Investor Relations Mark Eubanks - President & Chief Executive Officer Ron Domanico - Chief Financial Officer Conference Call Participants Jasper Bibb - Truist Securities George Tong - Goldman Sachs Operator Welcome to the Brinks Company's Second Quarter 2022 Earning Call. Brinks issued a press release on second quarter results this morning. The company also filed an ...

Part I - Financial Information [Item 1. Financial Statements](index=2&type=section&id=Item%201.%20Financial%20Statements) The company presents its unaudited condensed consolidated financial statements, highlighting growth in total assets, revenues, and net income Condensed Consolidated Balance Sheet Highlights (As of June 30, 2022) | Account | June 30, 2022 (In millions) | December 31, 2021 (In millions) | | :--- | :--- | :--- | | **Total Assets** | **$5,823.1** | **$5,566.7** | | Total Current Assets | $2,222.3 | $1,999.5 | | Goodwill | $1,379.8 | $1,411.7 | | **Total Liabilities** | **$5,456.4** | **$5,314.1** | | Long-term debt | $3,060.9 | $2,841.7 | | **Total Equity** | **$366.7** | **$252.6** | Condensed Consolidated Statements of Operations Highlights | Metric (In millions, except EPS) | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | | Revenues | $2,207.9 | $2,026.5 | | Operating Profit | $158.9 | $135.0 | | Net Income Attributable to Brink's | $106.4 | $36.6 | | Diluted EPS | $2.21 | $0.72 | Condensed Consolidated Statements of Cash Flows Highlights | Cash Flow Activity (In millions) | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $41.1 | $81.0 | | Net cash used by investing activities | $(102.5) | $(379.9) | | Net cash provided by financing activities | $136.5 | $314.4 | [Note 1 - Basis of presentation](index=9&type=section&id=Note%201%20-%20Basis%20of%20presentation) Financial statements prepared under U.S. GAAP, reflecting segment operations, key estimates, and specific accounting for highly inflationary economies - The company operates through four segments: North America, Latin America, Europe, and Rest of World[20](index=20&type=chunk) - In Q1 2022, the company updated its methodology for estimating the allowance for doubtful accounts, resulting in an additional allowance of **$16.7 million**, primarily due to an increase in past-due receivables in the U.S.[22](index=22&type=chunk) - Argentina's economy is accounted for as highly inflationary. In the first six months of 2022, this resulted in a **$13.4 million** pretax remeasurement loss. At June 30, 2022, the company held net monetary assets in Argentine pesos of **$75.8 million**[30](index=30&type=chunk)[31](index=31&type=chunk) [Note 2 - Revenue from Contracts with Customers](index=12&type=section&id=Note%202%20-%20Revenue%20from%20Contracts%20with%20Customers) Revenue is categorized into Core, High-Value, and Other Security Services, primarily recognized over time, with High-Value Services being a significant contributor Revenue by Service Type (Six Months Ended June 30) | Service Type | 2022 Revenue (In millions) | 2021 Revenue (In millions) | | :--- | :--- | :--- | | Core Services | $1,045.7 | $1,017.6 | | High-Value Services | $1,057.4 | $907.6 | | Other Security Services | $104.8 | $101.3 | | **Total** | **$2,207.9** | **$2,026.5** | - The company's main service offerings are grouped into three categories: Core Services, High-Value Services, and Other Security Services[40](index=40&type=chunk)[41](index=41&type=chunk)[42](index=42&type=chunk) [Note 3 - Segment information](index=15&type=section&id=Note%203%20-%20Segment%20information) The company operates across four segments, with North America leading in revenue and Latin America in operating profit Segment Performance (Six Months Ended June 30, 2022) | Segment | Revenues (In millions) | Operating Profit (In millions) | | :--- | :--- | :--- | | North America | $770.4 | $58.5 | | Latin America | $597.6 | $127.7 | | Europe | $448.8 | $37.2 | | Rest of World | $391.1 | $72.6 | | **Total Segments** | **$2,207.9** | **$296.0** | - Segment performance is evaluated based on operating profit, excluding corporate expenses and other specific items like restructuring costs, acquisition impacts, and the effects of highly inflationary accounting in Argentina[57](index=57&type=chunk) [Note 9 - Debt](index=27&type=section&id=Note%209%20-%20Debt) The company's total debt increased, with a recently amended senior secured credit facility and continued compliance with all debt covenants Total Debt Composition | Component | June 30, 2022 (In millions) | Dec 31, 2021 (In millions) | | :--- | :--- | :--- | | Short-term borrowings | $14.0 | $9.8 | | Long-term debt | $3,145.1 | $2,956.9 | | **Total Debt** | **$3,159.1** | **$2,966.7** | - In June 2022, the company amended its Senior Secured Credit Facility, which now includes a **$1 billion** revolving credit facility and **$1.4 billion** of term loans, both maturing on June 23, 2027[106](index=106&type=chunk)[107](index=107&type=chunk) - As of June 30, 2022, **$510 million** was available for borrowing under the Revolving Credit Facility[107](index=107&type=chunk) [Note 12 - Capital Stock](index=33&type=section&id=Note%2012%20-%20Capital%20Stock) The company maintains a share repurchase program and pays regular quarterly dividends, with a recent accelerated share repurchase completion - A **$250 million** share repurchase program is authorized through December 31, 2023, with the full amount available as of June 30, 2022[142](index=142&type=chunk)[143](index=143&type=chunk) - An accelerated share repurchase (ASR) under the 2020 program was completed in April 2022, with a total of **2,289,153 shares** repurchased for **$150 million**[143](index=143&type=chunk) - The company paid a quarterly dividend of **$0.20 per share** in Q2 2022[141](index=141&type=chunk) [Note 14 - Contingent matters](index=35&type=section&id=Note%2014%20-%20Contingent%20matters) The company is involved in a DOJ investigation and an antitrust complaint in Chile, with potential financial implications and ongoing legal processes - The company is cooperating with a DOJ investigation concerning cross-border shipments and anti-money laundering compliance. The outcome and potential loss, if any, cannot be reasonably estimated at this time[154](index=154&type=chunk) - In Chile, the company faces an antitrust complaint alleging anti-competitive practices. The Chilean antitrust agency has requested a fine of **$30.5 million**. The company has recorded a total estimated loss of **$10.3 million** as of June 30, 2022[155](index=155&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=36&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, highlighting revenue and operating profit growth driven by organic expansion, despite currency headwinds, and assesses liquidity [Results of Operations](index=37&type=section&id=Results%20of%20Operations) Revenues and operating profit increased significantly in Q2 and H1 2022, driven by organic growth across segments, though partially offset by unfavorable currency impacts Consolidated Financial Highlights (GAAP) | Metric (In millions, except EPS) | Q2 2022 | Q2 2021 | H1 2022 | H1 2021 | | :--- | :--- | :--- | :--- | :--- | | Revenues | $1,133.9 | $1,048.8 | $2,207.9 | $2,026.5 | | Operating Profit | $96.5 | $73.3 | $158.9 | $135.0 | | Diluted EPS | $0.73 | $0.47 | $2.22 | $0.73 | - Q2 2022 revenue growth was driven by organic increases in Latin America (**$44.0M**), North America (**$43.5M**), Europe (**$24.6M**), and Rest of World (**$22.5M**), partially offset by a **$53.9M** unfavorable currency impact[172](index=172&type=chunk) - H1 2022 operating profit increased by **$23.9 million**, primarily due to organic growth in Latin America, Rest of World, and Europe, and lower restructuring costs, partially offset by an organic decrease in North America and unfavorable currency changes[176](index=176&type=chunk) [Liquidity and Capital Resources](index=55&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is primarily from operations and debt facilities, with a decrease in operating cash flow but sufficient overall liquidity to meet future needs - Cash flows from operating activities decreased by **$39.9 million** in the first six months of 2022 compared to the same period in 2021, primarily due to working capital changes and higher income tax payments[243](index=243&type=chunk)[246](index=246&type=chunk) - As of June 30, 2022, **$510 million** was available for borrowing under its Revolving Credit Facility[260](index=260&type=chunk) Net Debt Reconciliation | Component (In millions) | June 30, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | Total Debt | $3,159.1 | $2,966.7 | | Less: Cash available for general corporate purposes | $703.3 | $675.6 | | **Net Debt** | **$2,455.8** | **$2,291.1** | [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=63&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company manages market risks from interest rates, foreign currency, and commodity prices, reporting no material changes in exposures during the first half of 2022 - The company's primary market risks include interest rates, foreign currency exchange rates, and commodity prices[275](index=275&type=chunk) - There were no material changes in the company's market risk exposures in the six months ended June 30, 2022[275](index=275&type=chunk) [Item 4. Controls and Procedures](index=63&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the reporting period[276](index=276&type=chunk) - No material changes to the internal control over financial reporting occurred during the quarter ended June 30, 2022[277](index=277&type=chunk) Part II - Other Information [Item 1. Legal Proceedings](index=65&type=section&id=Item%201.%20Legal%20Proceedings) This section refers to Note 14 for details on ongoing legal proceedings, including a DOJ investigation and a Chilean antitrust complaint - For details on legal proceedings, the report directs readers to Note 14, which discusses contingent matters such as the DOJ investigation and the Chilean antitrust complaint[283](index=283&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=65&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company completed an accelerated share repurchase during the quarter, with a significant amount remaining available under its current repurchase program - In April 2022, an additional **546,993 shares** were delivered to the company, completing a prior accelerated share repurchase (ASR) agreement[285](index=285&type=chunk) - As of June 30, 2022, approximately **$250 million** remained available for repurchase under the company's publicly announced plan[285](index=285&type=chunk) [Item 6. Exhibits](index=66&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including loan document amendments, CEO/CFO certifications, and the Interactive Data File - Key exhibits filed include the Fifth Amendment to Loan Documents, CEO/CFO certifications (Sections 302 and 906), and the iXBRL data file[287](index=287&type=chunk)