Arcos Dorados Q2 EPS Doubles to 22 Cents, Beating Estimates by 47%
ARCO sits 25% above its 52-week low of $6.54.
Summary
Arcos Dorados reported Q2 EPS of 22 cents, beating the 15-cent consensus by 47%, with revenue of $1.306 billion up 14.3% year over year and a record high. Systemwide comparable sales rose 15.3%, driven by strong guest traffic and digital sales now at 66% of systemwide sales. Brazil was the standout, with revenue up 25.3% and adjusted EBITDA up 43.2%. Adjusted free cash flow surged to $143.4 million from $16.1 million a year ago, and net leverage improved to 1.1x. The stock rose 3.67% on the news. This follows the earlier Reuters report of the Q2 beat, but adds detailed profitability and cash flow metrics that strengthen the positive picture.
At the time of this announcement, ARCO was trading at $8.18 on NYSE in the Trade & Services sector, with a market capitalization of approximately $1.7B. The 52-week trading range was $6.54 to $9.75. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Benzinga.