Segment Information

12 Months Ended

Dec. 31, 2020

Segment Reporting [Abstract]

Segment information

Segment Information

We identify our operating segments based on how our chief operating decision maker (“CODM”) allocates resources, assesses performance and makes decisions.  Our CODM is our President and Chief Executive Officer.  Our CODM evaluates performance and allocates resources to each operating segment based on a profit or loss measure which, at the reportable segment level, excludes the following:

•Corporate expenses -  includes corporate headquarters costs, regional management costs, currency transaction gains and losses, adjustments to reconcile segment accounting policies to U.S. GAAP, and costs related to global initiatives

•Other items not allocated to segments - certain significant items such as reorganization and restructuring actions that are evaluated on an individual basis by management and are not considered part of the ongoing activities of the business are excluded from segment results. Prior to deconsolidation (see Note 1), results from Venezuela operations were also excluded from our segment results due to the Venezuelan government's restrictions that have prevented us from repatriating funds. We also exclude certain costs, gains and losses related to acquisitions and dispositions of assets and of businesses. Beginning in the third quarter of 2018, we began to consolidate Brink's Argentina using our accounting policy for subsidiaries operating in highly inflationary economies. We have excluded from our segment results the impact of highly inflationary accounting in Argentina, including currency remeasurement losses. Incremental costs (primarily third party expenses) incurred related to the mitigation of material weaknesses and the implementation and adoption of ASU 2016-02, the new lease accounting standard effective for us as of January 1, 2019, are excluded from segment results. We have also excluded from our segment results net charges related to an internal loss in our U.S. global services operations. The net impact includes costs incurred to reconstruct an accounts receivable subledger as well as estimated bad debt expense for uncollectible receivables, partially offset by revenue billed and collected, but not previously recorded as a result of the former non-management employee's embezzlement activities.

We currently serve customers in more than 100 countries, including 52 countries where we operate subsidiaries.

During the fourth quarter of 2020, we implemented changes to our organizational and management structure that resulted in changes to our operating segments. Previously, our business was managed and reported in three operating segments: North America, South America and Rest of World. We now manage our business in four segments, and segment results are reported by these four segments. The four segments are as follows:

•North America – operations in the U.S. and Canada, including the Brink’s Global Services ("BGS") line of business,

•Latin America – operations in Latin American countries where we have an ownership interest, including the BGS line of business. This segment includes operations in Mexico, which was previously reported in the North America segment,

•Europe – operations in European countries which primarily provide services outside of the BGS line of business. This segment includes the BGS line of business within these country operations, and

•Rest of World – operations in European countries which primarily provide BGS services. This segment includes other lines of business within these country operations. This segment also includes operations in the Middle East, Africa and Asia as well as BGS activity in Latin American countries where we do not have an ownership interest.

Previously disclosed information for all periods presented has been revised to reflect our current segment structure.

	Revenues				Operating Profit
	Years Ended December 31,				Years Ended December 31,
(In millions)	2020		2019	2018	2020		2019	2018
Reportable Segments:
North America	$	1,261.4	1,370.4	1,101.0	$	91.7	104.1	70.9
Latin America	1,071.9		1,319.8	1,281.6	233.6		296.9	254.9
Europe	753.8		549.6	612.6	51.2		42.6	43.0
Rest of World	603.8		439.9	442.3	117.1		75.7	74.1
Total reportable segments	3,690.9		3,679.7	3,437.5	493.6		519.3	442.9
Reconciling Items:
Corporate items:
General, administrative and other expenses	—		—	—	(116.3)		(123.2)	(99.4)
Foreign currency transaction losses	—		—	—	(6.5)		(4.8)	(2.2)
Reconciliation of segment policies to GAAP(a)	—		—	—	10.5		0.3	5.6
Other items not allocated to segments:
Venezuela operations(b)	—		—	51.4	—		—	2.3
Reorganization and Restructuring(c)	—		—	—	(66.6)		(28.8)	(20.6)
Acquisitions and dispositions(d)	—		(0.5)	—	(83.1)		(88.5)	(41.4)
Argentina highly inflationary impact(e)	—		—	—	(10.7)		(14.5)	(8.0)
Internal loss(f)	—		4.0	—	(6.9)		(20.9)	—
Reporting compliance(g)	—		—	—	(0.5)		(2.1)	(4.5)
Total	$	3,690.9	3,683.2	3,488.9	$	213.5	236.8	274.7

(a)Represents adjustments to bad debt expense reported within the segments to bad debt expense required on a consolidated basis under U.S. GAAP.

(b)Amounts in 2018 represent revenues and operating profit from our Venezuela operations prior to the June 30, 2018 deconsolidation. See Note 1 for details.

(c)Management periodically implements restructuring actions in targeted sections of our business. Due to the unique circumstances around the charges related to these actions, they have not been allocated to segment results.

(d)Certain acquisition and disposition items that are not considered part of the ongoing activities of the business and are special in nature are consistently excluded from segment results. These items include amortization expense for acquisition-related intangible assets and integration, transaction and restructuring costs related to business acquisitions.

(e)Beginning in the third quarter of 2018, we designated Argentina's economy as highly inflationary for accounting purposes. Currency remeasurement gains and losses related to peso-denominated monetary assets and liabilities as well as incremental expense related to nonmonetary assets are excluded from segment results.

(f)See details regarding the impact of the Internal loss at Note 1.

(g)Accounting standard implementation and material weakness remediation. Additional information provided at page 32.

	Years Ended December 31,
(In millions)	2020		2019	2018
Capital Expenditures by Reportable Segment
North America	$	27.4	40.7	34.6
Latin America	35.1		80.3	67.8
Europe	33.4		16.2	22.2
Rest of World	16.6		17.3	15.7
Total reportable segments	112.5		154.5	140.3
Corporate items	6.0		10.3	14.8
Total	$	118.5	164.8	155.1
Depreciation and Amortization by Reportable Segment
Depreciation and amortization of property and equipment:
North America	$	62.3	64.2	58.2
Latin America	44.0		44.8	40.2
Europe	32.2		21.3	20.2
Rest of World	20.0		11.0	11.1
Total reportable segments	158.5		141.3	129.7
Corporate items	9.1		10.8	11.9
Venezuela	—		—	1.1
Argentina highly inflationary impact	1.8		1.8	—
Acquisitions and dispositions	1.0		3.1	—
Reorganization and Restructuring	1.3		0.2	1.9
Depreciation and amortization of property and equipment	171.7		157.2	144.6
Amortization of intangible assets(a)	35.1		27.8	17.7
Total	$	206.8	185.0	162.3

(a)Amortization of acquisition-related intangible assets has been excluded from reportable segment amounts.

	December 31,
(In millions)	2020		2019
Assets held by Reportable Segment
North America	$	1,327.8	1,355.8
Latin America	1,029.3		1,133.3
Europe	1,432.4		636.2
Rest of World	911.1		372.2
Total reportable segments	4,700.6		3,497.5
Corporate items	435.0		266.3
Total	$	5,135.6	3,763.8

	December 31,
(In millions)	2020		2019
Long-Lived Assets by Geographic Area(a)
Non-U.S.:
Mexico	$	118.9	129.4
France	74.9		74.1
Brazil	57.9		72.2
Canada	46.2		54.1
Other	269.0		150.0
Subtotal	566.9		479.8
U.S.	271.3		283.5
Total	$	838.2	763.3

(a)Long-lived assets include only property and equipment, net.

	Years Ended December 31,
(In millions)	2020		2019	2018
Revenues by Geographic Area(a)
Outside the U.S.:
Brazil	$	315.0	440.4	405.4
France	336.7		373.2	428.5
Mexico	366.3		412.4	365.3
Argentina	171.2		214.4	247.2
Canada	129.8		149.8	151.7
Other	1,240.3		868.4	941.5
Subtotal	2,559.3		2,458.6	2,539.6
U.S.	1,131.6		1,224.6	949.3
Total	$	3,690.9	3,683.2	3,488.9

(a)Revenues are recorded in the country where service is initiated or performed. No single customer represents more than 10% of total revenue.  

	December 31,
(In millions)	2020		2019
Net assets outside the U.S.
France	$	155.2	155.4
Netherlands	156.0		—
Mexico	154.0		181.3
Argentina	178.9		166.1
Brazil	224.1		274.1
Hong Kong	116.3		32.5
Other non-U.S. markets	991.5		450.7
Total	$	1,976.0	1,260.1

(In millions)	2020		2019	2018
Information about Unconsolidated Equity Method Affiliates:
Carrying value of investments and advances at December 31	$	4.9	5.0	4.9
Undistributed earnings at December 31	3.1		3.2	3.5
Share of equity earnings (loss)	0.8		0.9	1.9

Investments in businesses that we do not control, but for which we have the ability to exercise significant influence over operating and financial policies, are accounted for under the equity method and our proportionate share of income or loss is recorded in other operating income (expense).

In 2020, the Rest of World segment reported equity earnings of $0.7 million related to an equity method investment with a carrying value of $4.5 million as of December 31, 2020 and undistributed earnings of $2.7 million as of December 31, 2020. In 2020, the Latin America segment reported equity earnings of $0.1 million related to an equity method investment with a carrying value of $0.4 million as of December 31, 2020 and undistributed earnings of $0.4 million as of December 31, 2020.

In 2019, the Rest of World segment reported equity earnings of $0.6 million related to an equity method investment with a carrying value of $4.4 million as of December 31, 2019 and undistributed earnings of $2.6 million as of December 31, 2019. In 2019, the Latin America segment reported equity earnings of $0.3 million related to an equity method investment with a carrying value of $0.6 million as of December 31, 2019 and undistributed earnings of $0.6 million as of December 31, 2019.

In 2018, the Rest of World segment reported equity earnings of $0.9 million related to an equity method investment with a carrying value of $4.2 million and undistributed earnings of $2.8 million as of December 31, 2018. In 2018, the Latin America segment reported equity earnings of $1.0 million related to an equity method investment with a carrying value of $0.7 million and undistributed earnings of $0.7 million as of December 31, 2018.