Arcos Dorados Holdings Inc. Files 6-K for Financial Update
Ticker: ARCO · Form: 6-K · Filed: Jan 17, 2025 · CIK: 1508478
| Field | Detail |
|---|---|
| Company | Arcos Dorados Holdings INC. (ARCO) |
| Form Type | 6-K |
| Filed Date | Jan 17, 2025 |
| Risk Level | medium |
| Pages | 15 |
| Reading Time | 17 min |
| Key Dollar Amounts | $193 million, $11 million, $192 m, $490 million, $533 million |
| Sentiment | neutral |
Sentiment: neutral
Topics: financial-update, franchise-agreement, risk-factors
Related Tickers: ARCO
TL;DR
Arcos Dorados (ARCO) dropped a 6-K with Q3 2024 financials and updated franchise agreement risks.
AI Summary
Arcos Dorados Holdings Inc. filed a Form 6-K on January 17, 2025, to provide a management's discussion and analysis of financial condition and results of operations for the nine months ended September 30, 2024, and 2023. This filing also updates risk factors related to their Second Amended and Restated Master Franchise Agreement.
Why It Matters
This filing provides investors with updated financial performance insights and risk factor disclosures for Arcos Dorados Holdings Inc., crucial for understanding the company's current standing and potential future challenges.
Risk Assessment
Risk Level: medium — The filing discusses updates to risk factors, indicating potential material impacts on the company's business and financial condition.
Key Players & Entities
- Arcos Dorados Holdings Inc. (company) — Registrant
- 001-35129 (company) — SEC File Number
- September 30, 2024 (date) — Reporting period end
- September 30, 2023 (date) — Comparative reporting period end
- December 31, 2023 (date) — Annual Report period end
- April 29, 2024 (date) — Form 20-F filing date
FAQ
What is the primary purpose of this Form 6-K filing?
The primary purpose is to provide a management's discussion and analysis of financial condition and results of operations for the nine months ended September 30, 2024 and 2023, and to update certain disclosures and Risk Factors.
What specific financial periods are covered in the management's discussion and analysis?
The management's discussion and analysis covers the nine months ended September 30, 2024, and the nine months ended September 30, 2023.
What previous filing is being updated by this Form 6-K?
This Form 6-K updates certain disclosures and Risk Factors from the company's Annual Report on Form 20-F for the year ended December 31, 2023, which was filed on April 29, 2024.
What agreement is principally related to the updated risk factors?
The updated risk factors principally relate to the company's Second Amended and Restated Master Franchise Agreement.
What is the company's principal executive office address?
The company's principal executive office is located at Río Negro 1338, First Floor, Montevideo, Uruguay, 11100.
Filing Stats: 4,373 words · 17 min read · ~15 pages · Grade level 15.6 · Accepted 2025-01-17 08:31:44
Key Financial Figures
- $193 million — ce as of September 30, 2024 amounted to $193 million. We have considered future taxable inco
- $11 million — 4, we recognized net gains amounting to $11 million. If these estimates and assumptions cha
- $192 m — nged by tax authorities in an amount of $192 million, re lated to assessments for the
- $490 million — ith ASC 450-20-50-4 in a 6 range of $490 million and $533 million. In accordance with AS
- $533 million — -4 in a 6 range of $490 million and $533 million. In accordance with ASC 450-20-50-6, un
Filing Documents
- dp223532_6k-2.htm (6-K) — 410KB
- 0000950103-25-000617.txt ( ) — 411KB
RISK FACTORS
RISK FACTORS 35 i Management’s Discussion and Analysis of Financial Condition and Results of Operations The following discussion of our financial condition and results of operations should be read in conjunction with our condensed consolidated interim financial statements, included in our report on Form 6-K furnished on November 13, 2024. The following discussion contains forward-looking 20-F for the year ended December 31, 2023. Overview We are the world’s largest independent McDonald’s franchisee in terms of systemwide sales and number of restaurants, according to McDonald’s, representing 4.3% of McDonald’s global sales in 2023. We have the exclusive right to own, operate and grant franchises of McDonald’s restaurants in 20 countries and territories in Latin America and the Caribbean, including Argentina, Aruba, Brazil, Chile, Colombia, Costa Rica, Curaçao, Ecuador, French Guiana, Guadeloupe, Martinique, Mexico, Panama, Peru, Puerto Rico, Trinidad and Tobago, Uruguay, the U.S. Virgin Islands of St. Croix and St. Thomas, and Venezuela, which we refer to collectively as the Territories. As of September 30, 2024, we operated or franchised 2,410 McDonald’s-branded restaurants, which represented 5.9% of McDonald’s total franchised restaurants worldwide. We operate in the quick-service restaurant (“QSR”) sub-segment of the fast food segment of the Latin American and Caribbean food service industry. In Latin America and the Caribbean, the fast food segment has benefited from the region’s increasing modernization, as people in more densely populated areas adopt lifestyles that increasingly seek convenience, speed and value.