Arcos Dorados Holdings Inc
NYSE:ARCO

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Arcos Dorados Holdings Inc Logo
Arcos Dorados Holdings Inc
NYSE:ARCO
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Price: 8.04 USD -4.4% Market Closed
Market Cap: $1.7B

Net Margin

5.4%
Current
Improving
by 1.5%
vs 3-y average of 3.8%

Net Margin shows how much profit a company keeps from each dollar of sales after all expenses, including taxes and interest. It reflects the company`s overall profitability.

Net Margin
5.4%
=
Net Income
$245.4m
/
Revenue
$4.6B

Net Margin shows how much profit a company keeps from each dollar of sales after all expenses, including taxes and interest. It reflects the company`s overall profitability.

Net Margin
5.4%
=
Net Income
$245.4m
/
Revenue
$4.6B

Peer Comparison

Country Company Market Cap Net
Margin
UY
Arcos Dorados Holdings Inc
NYSE:ARCO
1.7B USD
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US
McDonald's Corp
NYSE:MCD
235B USD
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JP
DD Holdings Co Ltd
TSE:3073
18.1T JPY
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US
Starbucks Corp
NASDAQ:SBUX
110.5B USD
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US
Chipotle Mexican Grill Inc
NYSE:CMG
46.6B USD
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UK
Compass Group PLC
LSE:CPG
34.4B GBP
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US
Yum! Brands Inc
NYSE:YUM
45.2B USD
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CA
Restaurant Brands International Inc
NYSE:QSR
30.4B USD
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IN
Eternal Ltd
NSE:ETERNAL
2.7T INR
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US
Darden Restaurants Inc
NYSE:DRI
24.8B USD
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CN
Yum China Holdings Inc
NYSE:YUMC
19B USD
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Market Distribution

Lower than 80% of companies in Uruguay
Percentile
20th
Based on 6 companies
20th percentile
5.4%
Low
0.4% — 5.4%
Typical Range
5.4% — 5.4%
High
5.4% — 17.8%
Distribution Statistics
Uruguay
Min 0.4%
30th Percentile 5.4%
Median 5.4%
70th Percentile 5.4%
Max 17.8%

Arcos Dorados Holdings Inc
Glance View

In 2007, Arcos Dorados Holdings Inc. emerged as a formidable player in the fast-food industry, acquiring the exclusive rights to own, operate, and franchise McDonald's restaurants throughout Latin America and the Caribbean. With a name that translates to "Golden Arches" from Spanish, this company embraced its mission of bringing the iconic McDonald's experience to emerging markets, capitalizing on brand recognition, and adapting its offerings to local tastes and cultures. Originating from its base in Buenos Aires, Argentina, Arcos Dorados carved out a significant footprint, catering to a demographic eager for both the affordability and familiarity of McDonald's, and the globalization of dining experiences. Operating over 2,200 locations, Arcos Dorados deftly balances the provision of traditional McDonald's staples with regionally adapted menu items that resonate with local consumers—an approach that's been critical to its success. Revenue streams flow from a mix of company-operated restaurants and franchised outlets, ensuring a diversified income strategy. They earn money by direct restaurant sales alongside franchisee fees and royalties, making their operations less vulnerable to localized disruptions. The company's focus on consistent quality, rigorous training programs, and robust supply chain logistics ensures it remains a preferred destination for quick-service meals. Meanwhile, its sustainable business practices and community initiatives are aimed at securing brand loyalty as they endeavor to keep their golden arches shining brightly across diverse economies.

ARCO Intrinsic Value
14.39 USD
Undervaluation 44%
Intrinsic Value
Price
What is Net Margin?
Net Margin shows how much profit a company keeps from each dollar of sales after all expenses, including taxes and interest. It reflects the company`s overall profitability.
How is Net Margin calculated?

Net Margin is calculated by dividing the Net Income by the Revenue.

Net Margin
5.4%
=
Net Income
$245.4m
/
Revenue
$4.6B
What is Arcos Dorados Holdings Inc's current Net Margin?

The current Net Margin for Arcos Dorados Holdings Inc is 5.4%, which is above its 3-year median of 3.8%.

How has Net Margin changed over time?

Over the last 3 years, Arcos Dorados Holdings Inc’s Net Margin has increased from 3.9% to 5.4%. During this period, it reached a low of 2.9% on Jun 30, 2025 and a high of 5.4% on Sep 30, 2025.

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