Arcos Dorados Reports Q1 Revenue of $1.22B
Reports Q1 revenue $1.22B, consensus $1.21B. Luis Raganato, CEO, said, "Arcos Dorados has consistently added to its leading market share position and strengthened the McDonald's Brand across our operating footprint over the last several years. In fact, taking 2019 as the base, through the end of 2025: total revenue grew almost 60%, Adjusted EBITDA nearly doubled and net income was up more than 2.5x, in US dollars. Our objective for the coming years is to build on this incredible foundation and continue to capitalize on the significant competitive advantages we built over the period. With that context, 2026 is off to a good start. First quarter 2026 highlights included $1.2 billion in total revenue, the Company's highest level for a first quarter, which was supported by 16% systemwide comparable sales growth. Increased guest volume in NOLAD and SLAD added to higher average checks in Brazil and SLAD to drive growth in the period. Similar to total revenue, we generated our highest Adjusted EBITDA for a first quarter, reaching $118 million thanks to strong topline growth and very solid margin expansion, especially in Brazil and SLAD. We are pursuing strategies that capitalize on the Brand to monetize the significant market share advantage we hold in the region. Marketing campaigns focused on offering value platforms that appeal to lower income consumers and core menu items that drive Brand love as well as licenses and partnerships that keep McDonald's culturally relevant. The Brand experience continued to expand beyond our restaurants, bolstered by the region's most extensive digital platform and Loyalty Program. During the quarter, we added 19 new restaurants to our footprint and are already seeing opening costs per unit coming down thanks to more efficient capital deployment. Finally, 75% of our restaurants now offer guests the most modern experience available in the region's quick service restaurant industry."
