Profile: Arcos Dorados Holdings Inc (ARCO.N)
14 Dec 2018
Arcos Dorados Holdings Inc., incorporated on December 9, 2010, is a McDonald's franchisee. The Company owns, operates and grants franchises of McDonald's restaurants in approximately 20 countries and territories in Latin America and the Caribbean. The Company operates or franchises over 2,140 McDonald's-branded restaurants. It operates in the Quick service restaurants (QSR) sub-segment of the fast food segment of the Latin American and Caribbean food service industry. The Company divides its operations into four geographical divisions: Brazil; the Caribbean division, consisting of Aruba, Colombia, Curacao, French Guiana, Guadeloupe, Martinique, Puerto Rico, Trinidad and Tobago, the United States Virgin Islands of Saint Croix and Saint Thomas, and Venezuela; the North Latin America division (NOLAD), consisting of Costa Rica, Mexico and Panama, and the South Latin America division (SLAD), consisting of Argentina, Chile, Ecuador, Peru and Uruguay.
The Company's Brazil division operates approximately 880 restaurants. Its operations in Brazil are based in Sao Paulo. The Caribbean division includes over 10 territories with approximately 360 restaurants. The NOLAD division includes over three countries with approximately 520 restaurants. The SLAD division includes over five countries with approximately 380 restaurants. The Company operates its McDonald's-branded restaurants under approximately two basic structures, including Company-operated restaurants operated by the Company and franchised restaurants operated by franchisees. The Company classifies its restaurants into one of four categories: freestanding, food court, in-store and mall stores. The Company has approximately 320 McCafe locations in the Territories. In addition to McCafe locations, the Company operates Dessert Centers. At Dessert Centers, customers can purchase a range of dessert items, including the McFlurry and soft-serve ice cream. It has approximately 2,620 Dessert Centers in the Territories.
The Company's menus feature over three tiers of products: entry-level options, such as its Big Pleasures, Small Prices offerings and Almuerzos Colombianos (Colombian Lunches) in Colombia; core menu options, such as the Big Mac, Happy Meal and Quarter Pounder, and premium options, such as Big Tasty or Angus premium hamburgers and chicken sandwiches and low-calorie or low-sodium products that are marketed through common platforms rather than as individual items. These platforms can be based on the type of products, such as beef, chicken, salads or desserts or on the type of customer targeted, such as the children's menu. It also offers new menu with fewer calories and less sugar and sodium in the majority of its Territories. It offers dairy products, fresh fruits or vegetables with its Happy Meals in all of the Territories except Venezuela.
The Company competes with Burger King, Yum! Brands, Carl's Junior, Subway, Habib's and Bob's.
Arcos Dorados Holdings Inc
Dr. Luis Bonavita 1294
Office 501, Wtc Free Zone