Arcos Dorados Holdings Inc. (ARCO) to Issue Quarterly Dividend of $0.07 on December 29th

Arcos Dorados Holdings Inc. (NYSE:ARCO) declared a quarterly dividend on Wednesday, March 18th. Investors of record on Wednesday, December 23rd will be paid a dividend of 0.07 per share by the restaurant operator on Tuesday, December 29th. This represents a c) annualized dividend and a yield of 3.6%. The ex-dividend date is Wednesday, December 23rd.

Arcos Dorados has raised its dividend payment by an average of 0.2%annually over the last three years and has increased its dividend annually for the last 1 consecutive years. Arcos Dorados has a dividend payout ratio of 30.0% indicating that its dividend is sufficiently covered by earnings. Analysts expect Arcos Dorados to earn $0.73 per share next year, which means the company should continue to be able to cover its $0.24 annual dividend with an expected future payout ratio of 32.9%.

Arcos Dorados Trading Down 0.2%

NYSE:ARCO opened at $7.68 on Friday. The firm’s 50 day moving average is $8.16 and its two-hundred day moving average is $7.51. Arcos Dorados has a fifty-two week low of $6.51 and a fifty-two week high of $8.98. The company has a quick ratio of 0.81, a current ratio of 0.89 and a debt-to-equity ratio of 1.32.

Arcos Dorados (NYSE:ARCO) last announced its quarterly earnings data on Thursday, March 19th. The restaurant operator reported $0.12 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.20 by ($0.08). The company had revenue of $1.27 billion for the quarter, compared to analysts’ expectations of $1.26 billion. Arcos Dorados had a net margin of 5.39% and a return on equity of 20.42%. The firm’s quarterly revenue was up 10.7% on a year-over-year basis. During the same period in the prior year, the firm earned $0.28 earnings per share. On average, equities research analysts predict that Arcos Dorados will post 0.63 earnings per share for the current fiscal year.

Key Arcos Dorados News

Here are the key news stories impacting Arcos Dorados this week:

• Positive Sentiment: Company raised its quarterly dividend 16.7% to $0.07 (annualized yield ~3.6%), with record date March 30 and payment April 2 — supportive for income-focused investors.
• Positive Sentiment: Revenue beat estimates: Q4 revenue was roughly $1.27B vs. $1.26B expected and was up ~10.7% year-over-year; management highlighted strong digital channel growth on the earnings call. Article Title
• Neutral Sentiment: Earnings call transcript and full remarks are available for deeper read; useful for investors wanting management color on margins, digital mix and outlook. Article Title
• Negative Sentiment: EPS missed consensus — the company reported roughly $0.12 EPS (versus ~$0.20 consensus), with EPS well below the prior-year $0.28 level; the earnings shortfall is the primary near-term catalyst for the share weakness. Article Title
• Negative Sentiment: Some outlets report Q4 results as a loss on an adjusted basis versus estimates, amplifying the negative reaction; this highlights volatility in EPS presentation and expectations. Article Title
• Negative Sentiment: Arcos Dorados filed audited 2025 financials in a Form 6‑K where the auditor flagged Brazilian tax risks — a potential longer-term liability that increases uncertainty and risk premium on the shares. Article Title

Arcos Dorados Company Profile

Arcos Dorados Holdings Inc is the largest independent McDonald’s franchisee in the world, operating under an exclusive license agreement with McDonald’s Corporation. The company develops, owns and operates quick-service restaurants, offering the full McDonald’s menu, including hamburgers, chicken sandwiches, salads, sides, desserts and McCafé beverages. In addition to restaurant operations, Arcos Dorados manages supply chain logistics, property development, training and support services for its franchise network.

Headquartered in Montevideo, Uruguay, Arcos Dorados serves 20 markets across Latin America and the Caribbean, including Argentina, Brazil, Chile, Colombia, Mexico, Puerto Rico and Uruguay.