Arcos Dorados Q4 Profit Rises, But Misses Estimates; Stock Down In Pre-market

(RTTNews) - Arcos Dorados Holdings, Inc. (ARCO), a restaurant chain and McDonald's franchisee, reported Wednesday that its fourth-quarter net income attributable to the company totaled $55.78 million, higher than last year's $54.49 million.

Earnings per share were $0.26, in line with the prior-year quarter.

Analysts on average expected the company to report earnings of $0.31 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Arcos Dorados' total revenues reached $1.18 billion, up 15.4 percent from $1.02 billion a year ago.

Systemwide comparable sales increased 32.4 percent, with higher guest traffic and average check driving at or above-inflation growth in all divisions.

Further, the company said its Board of Directors approved a cash dividend for 2024 of $0.24 per share to all Class A and Class B shareholders of the Company in four installments.

The dividends will be $0.06 per share each on March 28, June 28, September 27, and December 27. The payments will be made to shareholders of record as of March 25, June 25, September 24, and December 23.

As announced earlier, the company plans to open 80 to 90 restaurants in 2024, comprised of about 90 percent free-standing units.

In pre-market activity on the NYSE, Arcos Dorados shares were losing around 3.4 percent to trade at $11.55.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.