Arcos Dorados Holdings Inc SEC Filings

Teachers Advisors, LLC filed Amendment No. 11 to Schedule 13G/A reporting holdings in Arcos Dorados Holdings Inc.-A (CUSIP G0457F107). The filing lists two reported holdings figures: a table showing 52,656 shares (stated as 0.04% of the class) for which TAL has sole voting and dispositive power, and Item 4(a) reporting an aggregate beneficial ownership of 349,948 shares (stated as 0.27% of the class) with a cross-reference to Exhibit A. The filing states these shares were acquired in the ordinary course of business and not for the purpose of changing or influencing control of the issuer.

The filing provides TAL's address in New York and its Delaware organization, identifies related entities (NAM and TCIM) that may be deemed beneficial owners of small amounts, and is signed by Stuart R. Brunet, Managing Director and Chief Compliance Officer, dated 09/04/2025.

TIAA-CREF Investment Management, LLC reports beneficial ownership in Arcos Dorados Holdings Inc.-A common stock totaling 349,948 shares (0.27% of the class). The filing also shows 296,574 shares over which TCIM has sole voting and dispositive power. A related affiliate, Teachers Advisors, LLC, may be deemed beneficial owner of 52,656 shares, and Nuveen Asset Management may be deemed owner of 718 shares. The filing states these shares were acquired in the ordinary course of business and not to influence control of the issuer.

Nuveen Asset Management, LLC filed an Amendment No. 11 to a Schedule 13G/A reporting its holdings in Arcos Dorados Holdings Inc.-A (ticker ARCO). The filing states NAM beneficially owns 349,948 shares, representing 0.27% of the class, while NAM itself directly has sole voting and dispositive power over 718 shares. The filing discloses related advisory affiliates: TIAA-CREF Investment Management, LLC may be deemed beneficial owner of 296,574 shares held by CREF, and Teachers Advisors, LLC may be deemed beneficial owner of 52,656 shares held by certain funds and accounts. The filing affirms the shares were acquired in the ordinary course of business and not for the purpose of changing control.

Lazard Asset Management LLC filed a Schedule 13G reporting ownership of 14,987,284 shares of Arcos Dorados Holdings Inc (CUSIP G0457F107), representing 11.5% of the equity class. The filing shows sole voting power for 9,530,924 shares and sole dispositive power for all 14,987,284 shares. The reporting person is organized in New York with a principal office at 30 Rockefeller Plaza, New York, NY. The certification states the shares were not acquired to change or influence control of the issuer. The statement is signed by Mark Anderson, Managing Director, General Counsel.

Arcos Dorados reported solid underlying sales momentum across Latin America and the Caribbean, with total revenues of $1.14 billion in the second quarter of 2025 and systemwide comparable sales up 12.1% year-over-year. Digital channels grew 7.9% and accounted for more than 60% of systemwide sales, while the Loyalty Program reached 21.5 million registered members and drove 22.6% of sales in participating markets. The Company added 20 Experience of the Future restaurants and expanded its footprint with the acquisition of three restaurants and exclusive rights in Saint Martin.

Profitability showed mixed signals: consolidated Adjusted EBITDA was $110.1 million and net income attributable to Arcos Dorados was $22.6 million (EPS $0.11), with Adjusted EBITDA down on a reported basis but up on a constant currency basis after adjusting for prior-year labor contingency effects. Leverage remains moderate with net financial debt to LTM Adjusted EBITDA at 1.4x, and S&P assigned a long-term issuer credit rating of BBB- with a Stable Outlook, reflecting investment grade status alongside operational progress.

Arcos Dorados reported consolidated revenues of $2,218,888 thousand for the six months ended June 30, 2025, essentially flat year-over-year, with operating income of $107,607 and net income attributable to shareholders of $36,517 (basic EPS $0.17), down from $55,141 and $0.26 a year earlier.

The company issued $600,000 of 2032 senior notes at 6.375% to refinance 2027 notes, increased total assets to $3,372,420 and shareholders' equity to $581,642, and finished the period with $147,052 in cash and $86,810 in short-term investments. Adjusted EBITDA declined to $201,390 from $227,717. The company remains in compliance with MFA and credit covenants but discloses potential contingent exposures in the range of $484 million to $530 million. A $0.24 per share dividend program has been paid in part, $25,280 year-to-date.

Arcos Dorados (NYSE: ARCO) obtained an initial long-term issuer rating of “BBB-” with a Stable Outlook from S&P Global Ratings. The agency cited the Company’s:

• Leading QSR market share in Latin America and exclusive McDonald’s Master Franchise Agreement, recently renewed through 2044 with a 20-year option.
• Conservative leverage, with S&P-adjusted debt/EBITDA ≈ 2.0x and FFO/debt ≈ 35%.
• Sound liquidity, no near-term maturities and committed credit facilities.
• Geographic diversification and ability to endure a potential Brazilian sovereign stress scenario.

This is Arcos Dorados’ second investment-grade rating, following Fitch’s upgrade to “BBB-” in January 2025, giving the Company full investment-grade status. Both agencies emphasized prudent financial policy, strong operating performance and a comfortable debt schedule. Management views the dual ratings as validation of its disciplined capital structure and long-term strategy.