BVI-registered Arcos Dorados Holdings, Inc., the largest McDonald’s franchisee in Latin America, has reported unaudited financial results for the third quarter of 2019.
For the three months period ended September 30, 2019 the company reported consolidated revenue growth of 3.8% in US$, and 14.1% in constant currency. Consolidated revenues totaled US$747.6 million. The quarter’s highlights, like most of the others, excluded Venezuela. The BVI holding also reported 10.8% comparable sales expansion in Brazil, and 12.7% year-over-year growth in systemwide comparable sales, above the company’s inflation rate.
General and Administrative expenses increased 2.6% in US dollars versus the year-ago quarter and were down 10 basis points as a percentage of revenue. Net income in US dollars decreased 39.6% from US$42.7 mln to US$25.8 mln, mainly due to last year’s one-time tax credit.
CEO of Arcos Dorados Marcelo Rabach commented: “In light of the largely weak economic conditions in many of our markets, our strong revenue and margin performance validate once again the investments we continue making under our three-pillar strategy to drive profitable growth and extend our leadership position in Brazil and other markets. A combination of guest, volume and check growth accelerated comparable sales again and at a rate still above blended inflation.”