Arcos Dorados Holdings Inc 6-K, filed Mar 19, 2026

Arcos Dorados Holdings Inc. (ARCO)

6-K 2026-03-19 For: 2025-12-31

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Added on April 11, 2026

About this 6-K

Arcos Dorados Holdings Inc filed this 6-K on March 19, 2026.

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Report of Independent Registered Public Accounting Firm PCAOB ID: 1449			F-3
Consolidated Statements of Income for the fiscal years ended December 31, 2025, 2024 and 2023			F-5
Consolidated Statements of Comprehensive Income for the fiscal years ended December 31, 2025, 2024 and 2023			F-6
Consolidated Balance Sheet as of December 31, 2025 and 2024			F-7
Consolidated Statements of Cash Flows for the fiscal years ended December 31, 2025, 2024 and 2023			F-8
Consolidated Statements of Changes in Equity for the fiscal years ended December 31, 2025, 2024 and 2023			F-10
Notes to the Consolidated Financial Statements as of December 31, 2025 and 2024 and for each of the three years in the period ended December 31, 2025			F-11


						Tax contingencies
Description of the Matter						The Company has operations in Brazil representing 37.8% of the revenues of the group for the year ended December 31, 2025 and maintains a provision for tax contingencies in that country that represents an 80% of the provision for contingencies balance of the group as of December 31, 2025. As described in notes 3 and 19, the Company assesses the likelihood of any adverse judgments in outcomes on its tax positions, including income tax and other taxes, based on the technical merits of a tax position derived from legislation and statutes, legislative intent, regulations, rulings and case law and their applicability to the facts and circumstances of the tax position. Auditing the measurement of tax contingencies related to certain claims and transactions was challenging because their measurement is complex, highly judgmental, and is based on interpretations of tax laws, case-law jurisprudence and requires estimating the future outcome of individual claims.
How We Addressed the Matter in Our Audit						We obtained an understanding, evaluated the design and tested the operating effectiveness of the Company’s controls around identification of matters, evaluation of tax opinions, and tested management’s review controls over the assumptions made in the estimation of provisions and related disclosures. To test the tax contingencies provision, our audit procedures included, among others, involving personnel with specialized knowledge to assess the technical merits of the Company’s tax positions; assessing the Company’s correspondence with the relevant tax authorities; evaluating third-party tax opinions obtained by the Company; separately corresponding with certain key external tax and legal advisors of the Company, inspecting the minutes of the meetings of the Audit Committee and Board of Directors; obtaining confirmation letters from the Company’s tax director, and evaluating the application of relevant tax law in the Company’s determination of its provision. We assessed the assumptions made by management in relation to the potential outcomes with historical information. We also evaluated the disclosures included in notes 3 and 19 to the consolidated financial statements in relation to these matters.


/s/ Pistrelli, Henry Martin y Asociados S.A.

PISTRELLI, HENRY MARTIN Y ASOCIADOS S.A.
Member of Ernst & Young Global Limited
We have served as the Company’s auditor since 2007.


REVENUES	2025		2024		2023
Sales by Company-operated restaurants	$	4,465,177	$	4,266,748	$	4,137,675
Revenues from franchised restaurants	213,082		203,414		194,203
Total revenues	4,678,259		4,470,162		4,331,878

OPERATING COSTS AND EXPENSES
Company-operated restaurant expenses:
Food and paper	(1,606,076)		(1,498,853)		(1,457,720)
Payroll and employee benefits	(835,109)		(797,620)		(790,042)
Occupancy and other operating expenses	(1,300,420)		(1,238,220)		(1,154,334)
Royalty fees	(273,018)		(265,382)		(249,278)
Franchised restaurants – occupancy expenses	(89,518)		(83,665)		(83,359)
General and administrative expenses	(312,750)		(279,859)		(285,000)
Other operating income, net	103,025		17,952		1,894
Total operating costs and expenses	(4,313,866)		(4,145,647)		(4,017,839)
Operating income	364,393		324,515		314,039
Net interest expense and other financing results	(13,660)		(47,238)		(32,275)
(Loss) Gain from derivative instruments	(3,078)		941		(13,183)

Foreign currency exchange results	(4,859)		(15,063)		10,774
Other non-operating expenses, net	(1,484)		(3,873)		(1,238)
Income before income taxes	341,312		259,282		278,117
Income tax expense, net	(128,728)		(109,903)		(95,702)
Net income	212,584		149,379		182,415
Less: Net income attributable to non-controlling interests	(468)		(620)		(1,141)
Net income attributable to Arcos Dorados Holdings Inc.	$	212,116	$	148,759	$	181,274


Earnings per share information:
Basic and Diluted net income attributable to Arcos Dorados Holdings Inc. per common share	$	1.01	$	0.71	$	0.86


	2025		2024		2023
Net income	$	212,584	$	149,379	$	182,415

Other comprehensive income (loss), net of tax:

Foreign currency translation	96,807		(111,951)		53,304




Cash flow hedges:
Net (loss) gain recognized in accumulated other comprehensive loss	(27,595)		33,150		(17,393)
Reclassification of net loss (gain) to consolidated statements of income	27,635		(26,904)		15,124
Cash flow hedges (net of deferred income taxes of $(1,664), $(1,597) and $896)	40		6,246		(2,269)
Securities available for sale:
Unrealized loss on available for sale securities	(134)		(552)		(1,780)
Reclassification of net loss to consolidated statements of income	4,204		774		1,119
Securities available for sale (net of deferred income taxes $68, $99 and $577).	4,070		222		(661)
Total other comprehensive income (loss)	100,917		(105,483)		50,374
Comprehensive income	313,501		43,896		232,789
Less: Comprehensive income attributable to non-controlling interests	(531)		(540)		(1,136)
Comprehensive income attributable to Arcos Dorados Holdings Inc.	$	312,970	$	43,356	$	231,653


ASSETS	2025		2024
Current assets
Cash and cash equivalents	$	373,438	$	135,064
Short-term investments	48,909		3,529
Accounts and notes receivable, net	164,482		119,441
Other receivables	84,474		42,469
Inventories	66,390		51,650
Prepaid expenses and other current assets	103,900		115,834
Derivative instruments	10,365		416

Total current assets	851,958		468,403
Non-current assets
Miscellaneous	251,531		93,581
Collateral deposits	2,500		2,500
Property and equipment, net	1,308,732		1,127,042
Net intangible assets and goodwill	148,950		66,644
Deferred income taxes	104,250		90,287
Derivative instruments	68,339		79,874

Equity method investments	16,033		14,346
Lease right of use asset	1,133,551		949,977
Total non-current assets	3,033,886		2,424,251
Total assets	$	3,885,844	$	2,892,654
LIABILITIES AND EQUITY
Current liabilities
Accounts payable	$	356,606	$	347,895
Royalties payable to McDonald’s Corporation	34,099		20,860
Income taxes payable	50,635		39,004
Other taxes payable	93,287		79,462
Accrued payroll and other liabilities	145,460		113,259
Provision for contingencies	1,455		1,199
Interest payable	18,915		7,798
Short-term debt	—		60,251
Current portion of long-term debt	11,776		2,624
Derivative instruments	9,666		1,292
Operating lease liabilities	106,836		92,280
Total current liabilities	828,735		765,924
Non-current liabilities
Accrued payroll and other liabilities	91,801		20,928
Provision for contingencies	49,399		29,157
Long-term debt, excluding current portion	1,125,885		715,974
Derivative instruments	14,201		—
Deferred income taxes	2,757		2,084
Operating lease liabilities	1,000,927		849,158
Total non-current liabilities	2,284,970		1,617,301
Total liabilities	$	3,113,705	$	2,383,225
Equity
Class A shares of common stock	$	389,967	$	389,967
Class B shares of common stock	132,915		132,915
Additional paid-in capital	8,659		8,659
Retained earnings	825,946		664,390
Accumulated other comprehensive loss	(567,630)		(668,484)
Common stock in treasury	(19,367)		(19,367)
Total Arcos Dorados Holdings Inc. shareholders’ equity	770,490		508,080
Non-controlling interests in subsidiaries	1,649		1,349
Total equity	772,139		509,429
Total liabilities and equity	$	3,885,844	$	2,892,654


	Arcos Dorados Holdings Inc. Shareholders
	Class A shares of common stock			Class B shares of common stock			Additional paid-in capital		Retained earnings		Accumulated other comprehensive loss		Common Stock in treasury			Total		Non-controlling interests		Total
	Number	Amount		Number	Amount								Number	Amount
Balances at December 31, 2022	132,903,607	$	389,393	80,000,000	$	132,915	$	9,206	$	424,936	$	(613,460)	(2,309,062)	$	(19,367)	$	323,623	$	804	$	324,427
Net income for the year	—	—		—	—		—		181,274		—		—	—		181,274		1,141		182,415
Other comprehensive income	—	—		—	—		—				50,379		—	—		50,379		(5)		50,374
Cash Dividends to Arcos Dorados Holdings Inc.’s shareholders ($0.19 per share)	—	—		—	—		—		(40,022)		—		—	—		(40,022)		—		(40,022)


Issuance of shares in connection with the partial vesting of outstanding restricted share units under the 2011 Equity Incentive Plan	60,424	514		—	—		(514)		—		—		—	—		—		—		—
Stock-based compensation related to the 2011 Equity Incentive Plan	—	—		—	—		27		—		—		—	—		27		—		27
Dividends to non-controlling interests	—	—		—	—		—		—		—		—	—		—		(382)		(382)
Balances at December 31, 2023	132,964,031	$	389,907	80,000,000	$	132,915	$	8,719	$	566,188	$	(563,081)	(2,309,062)	$	(19,367)	$	515,281	$	1,558	$	516,839
Net income for the year	—	—		—	—		—		148,759		—		—	—		148,759		620		149,379
Other comprehensive loss	—	—		—	—		—		—		(105,403)		—	—		(105,403)		(80)		(105,483)
Cash Dividends to Arcos Dorados Holdings Inc.’s shareholders ($0.24 per share)	—	—		—	—		—		(50,557)		—		—	—		(50,557)		—		(50,557)


Issuance of shares in connection with the partial vesting of outstanding restricted share units under the 2011 Equity Incentive Plan	8,088	60		—	—		(60)		—		—		—	—		—		—		—

Dividends to non-controlling interests	—	—		—	—		—		—		—		—	—		—		(749)		(749)
Balances at December 31, 2024	132,972,119	$	389,967	80,000,000	$	132,915	$	8,659	$	664,390	$	(668,484)	(2,309,062)	$	(19,367)	$	508,080	$	1,349	$	509,429
Net income for the year	—	—		—	—		—		212,116		—		—	—		212,116		468		212,584
Other comprehensive income	—	—		—	—		—		—		100,854		—	—		100,854		63		100,917
Cash Dividends to Arcos Dorados Holdings Inc.’s shareholders ($0.24 per share)	—	—		—	—		—		(50,560)		—		—	—		(50,560)		—		(50,560)



Dividends to non-controlling interests	—	—		—	—		—		—		—		—	—		—		(231)		(231)
Balances at December 31, 2025	132,972,119	$	389,967	80,000,000	$	132,915	$	8,659	$	825,946	$	(567,630)	(2,309,062)	$	(19,367)	$	770,490	$	1,649	$	772,139


Fiscal year	Markets	Total
2025	Trinidad & Tobago, USVI, Aruba and Peru	$	922
2024	Trinidad & Tobago, USVI, Colombia, Venezuela and Peru	1,067
2023	Trinidad & Tobago, Aruba, Colombia, Venezuela and Peru	2,626


	Amount
Confirmed obligations outstanding amount as of December 31, 2023	$	13,650
Invoices confirmed during the year	80,655
Confirmed invoices paid during the year	(77,653)
Currency translation	(1,803)
Confirmed obligations outstanding amount as of December 31, 2024	$	14,849
Invoices confirmed during the year	94,807
Confirmed invoices paid during the year	(96,482)
Currency translation	1,052
Confirmed obligations outstanding amount as of December 31, 2025	$	14,226


Purchases of restaurant businesses:	2025		2024		2023
Property and equipment	$	7,522	$	925	$	2,063
Identifiable intangible assets	9,180		2,902		2,760
Goodwill	1,789		3,992		4,380
Liabilities assumed	—		—		(154)
Gain on restaurant transactions	(6,699)		—		—
Purchase price	11,792		7,819		9,049
Seller financing	(4,125)		(302)		(3,430)
Escrow	(610)		—		—
Exchange of assets	—		—		(3,538)
Settlement of franchise receivables	—		(1,434)		—
Net cash paid at acquisition date	$	7,057	$	6,083	$	2,081


	2025		2024
Receivables from franchisees	$	56,989	$	46,320
Debit and credit card receivables	61,584		28,492
Delivery sales receivables	37,711		36,983
Meal voucher receivables	7,490		7,081
Notes receivable	1,388		859
Allowance for doubtful accounts	(680)		(294)
	$	164,482	$	119,441


	2025		2024
Tax Credits (i)	$	50,668	$	9,622
Related parties receivables	10,390		9,064
Insurance claim receivables	4,711		5,670
Others	18,705		18,113
	$	84,474	$	42,469


	2025		2024
Prepaid taxes	$	44,734	$	60,371
Prepaid expenses	41,759		37,979

Promotional items and related advances	17,173		16,774
Others	234		710
	$	103,900	$	115,834


	2025		2024
Land	$	128,120	$	123,129
Buildings and leasehold improvements	1,284,776		997,305
Equipment	1,253,598		1,123,928
Total cost	2,666,494		2,244,362
Total accumulated depreciation	(1,357,762)		(1,117,320)
	$	1,308,732	$	1,127,042


	2025		2024
Net intangible assets (i)
Computer software cost	$	148,258	$	130,858
Initial franchise fees	87,350		16,101
Reacquired franchised rights	31,481		20,911


Total cost	267,089		167,870
Total accumulated amortization	(134,745)		(114,567)
Subtotal	132,344		53,303


	2025		2024		2023
Operating activities
Net income attributable to Arcos Dorados Holdings Inc.	$	212,116	$	148,759	$	181,274
Adjustments to reconcile net income attributable to Arcos Dorados Holdings Inc. to cash provided by operating activities:
Non-cash charges and credits:
Depreciation and amortization	197,257		177,354		149,268
Loss (gain) from derivative instruments	3,078		(941)		13,183
Amortization and accrual of letter of credit fees and deferred financing costs	5,943		4,869		4,268

Deferred income taxes	(4,853)		(11,389)		(4,310)
Foreign currency exchange results	11,867		9,051		3,162
Accrued net share-based compensation expense	4,585		953		14,337

Write-off of long-lived assets	6,557		2,650		8,401
Gain on restaurant transactions	(10,701)		(6,550)		(4,008)

Others, net	105		2,402		(6,227)
Changes in assets and liabilities:
Accounts and notes receivables	(39,856)		209		(46,021)
Other receivables	(34,025)		(11,553)		(15,223)
Prepaid expenses and other assets	12,295		(10,447)		(33,211)
Inventories	(9,286)		(4,250)		4,827
Miscellaneous	(147,667)		(18,193)		(7,298)
Accounts payable	2,954		24,460		70,003
Income taxes payable	10,411		(23,055)		7,755
Other taxes payable	12,408		6,542		25,452
Accrued payroll, other liabilities and provision for contingencies	39,617		(25,670)		17,272
Royalties payable to McDonald’s Corporation	12,607		1,079		(719)
Others	10,932		567		(220)
Net cash provided by operating activities	296,344		266,847		381,965
Investing activities
Property and equipment expenditures	(281,350)		(327,636)		(360,097)
Purchases of restaurant businesses paid at acquisition date	(7,057)		(6,083)		(2,081)
Proceeds from sales of property and equipment, restaurant businesses and related advances	2,569		8,210		2,540
Proceeds from short-term investments	88,669		76,114		66,735
Acquisitions of short-term investments	(134,164)		(30,000)		(86,719)
Other investing activity	(3,694)		(936)		(727)
Net cash used in investing activities	(335,027)		(280,331)		(380,349)
Financing activities


	2025		2024
Tax credits (i)	$	191,235	$	51,080
Judicial deposits	27,704		19,770

Notes receivable	6,145		5,145
Rent deposits	7,640		4,167


Others	18,807		13,419
	$	251,531	$	93,581


Goodwill (ii)	2025		2024
Brazil	8,044		7,166
Chile	3,616		3,273
Mexico	1,806		1,562
Saint Martin	1,789		—
Argentina	1,276		1,276
Colombia	75		64

Subtotal	16,606		13,341
	$	148,950	$	66,644


	2025		2024
Current:
Accrued payroll	$	110,441	$	89,324
Other liabilities	7,263		6,982

Deferred Income Loyalty Program	16,565		6,821
Phantom RSU award liability	3,989		5,239


Accrued expenses	7,202		4,893


	$	145,460	$	113,259
Non-current:
Initial Franchise Fee	$	73,284	$	5,015
Phantom RSU award liability	3,210		3,900


Deferred income	5,973		5,212
Security deposits	8,724		6,801
Other liabilities	610		—
	$	91,801	$	20,928


	2025		2024
Bank overdrafts	$	—	$	686
Short-term bank loans	—		55,065
Revolving Credit Facility	—		4,500
Total	$	—	$	60,251


				Principal as of
Territories	Entity	Currency	Annual interest rate	December 31, 2025		December 31, 2024		Maturity
Panama	Citibank N.A.	USD	SOFR + 2.10%	$	—	$	5,000	February, 2025
Puerto Rico	Citibank N.A.	USD	SOFR + 2.10%	—		14,000		February, 2025
Chile	Banco de Chile	CLP	6.84%	—		8,677		March, 2025
	Banco Itaú Chile		7.53%	—		17,388		June, 2025
Uruguay	Banco Itaú Uruguay S.A.	USD	5.74%	—		8,000		May, 2025
	Banco Bilbao Vizcaya Argentaria Uruguay S.A.		5.55%	—		2,000
Total				$	—	$	55,065


	2025		2024
2032 Notes	$	600,000	$	—
2029 Notes	350,000		334,200
2027 Notes	—		379,265
Long-term bank loans	184,994		—
Finance lease obligations	11,672		9,087
Other long-term borrowings	2,193		2,791
Subtotal	1,148,859		725,343
Discounts and premiums on Notes	(4,229)		(3,956)
Deferred financing costs (“DFC”)	(6,969)		(2,789)
Total	1,137,661		718,598
Current portion of long-term debt	11,776		2,624
Long-term debt, excluding current portion	$	1,125,885	$	715,974


				Principal as of December 31,
	Annual interest rate		Currency	2025		2024		Maturity
2032 Notes	6.375	%	USD	$	600,000	$	—	January 29, 2032
2029 Notes	6.125	%	USD	$	350,000	$	334,200	May 27, 2029
2027 Notes	5.875	%	USD	—		379,265		April 4, 2027


	Interest Expense (i)			DFC Amortization (i)			Amortization of Premium/Discount, net (i)
	2025	2024	2023	2025	2024	2023	2025	2024	2023
2032 Notes	35,274	—	—	773	—	—	343	—	—
2029 Notes	20,469	20,469	20,511	469	469	527	665	691	695
2027 Notes	4,193	22,282	22,218	886	457	466	866	460	478


Transaction	Date	Principal Amount		Average Price		Early Redemption Price		Total payment (i)
Issuance	April 4, 2017	$	265,000	—		—		$	—
Additional issuance	September 11, 2020	$	150,000	—		—		$	—
Additional issuance of 2027 Notes related to 2023 exchange	October 13, 2020	$	138,354	—		—		$	—
Open market repurchases	During 2021	$	(17,368)	105.74	%	—		$	(18.364)
Cash Tender	May 13, 2022	$	(150,000)	99.94	%	103.00	%	$	(154,407)
Open market repurchases	During 2022	$	(4,721)	98.01	%	—		$	(4,627)
Open market repurchases	During 2023	$	(2,000)	95.20	%	—		$	(1,904)
Cash Tender	January 29, 2025	$	(136,145)	100.00	%	100.00	%	$	(136,145)
Optional full redemption	April 4, 2025	$	(243,120)	100.00	%	—		$	(243,120)
Principal amount of 2027 Notes as of December 31, 2025:		$	—


	Principal		Interest		Total
2026	$	11,776	$	68,336	$	80,112
2027	26,210		69,196		95,406
2028	1,370		67,345		68,715
2029	501,384		49,646		551,030
2030	1,446		38,741		40,187
Thereafter	606,673		58,000		664,673
Total payments	1,148,859		351,264		1,500,123
Interest	—		(351,264)		(351,264)
Discounts and premiums on Notes	(4,229)		—		(4,229)
Deferred financing costs ("DFC")	(6,969)		—		(6,969)
Long-term debt	$	1,137,661	$	—	$	1,137,661


		Assets					Liabilities
Type of Derivative	Balance Sheets Location	2025		2024		Balance Sheets Location	2025		2024
Derivatives designated as hedging instruments
Cash Flow hedge
Forward contracts	Other receivables	$	489	$	2,093	Accrued payroll and other liabilities	$	(2,642)	$	—
Forward contracts	Derivative instruments	—		—		Derivative instruments	(2,428)		—
Principal only swap	Derivative instruments	—		—		Derivative instruments	(1,429)		—
Call spread + coupon-only swap	Derivative instruments	12,646		16,998		Derivative instruments	(1,172)		(179)
Sustainability-linked ESG principal only swap	Derivative instruments	22,939		25,617		Derivative instruments	(233)		(207)
Cross-currency interest rate swap	Derivative instruments	30,284		37,627		Derivative instruments	(1,323)		(620)



Subtotal		$	66,358	$	82,335		$	(9,227)	$	(1,006)
Derivatives not designated as hedging instruments
Forward contracts	Derivative instruments	$	—	48		Derivative instruments	$	—	(286)
Cross-currency interest rate swap	Derivative instruments	12,815		$	—	Derivative instruments	(17,282)		$	—

Call spread	Derivative instruments	20		—		Derivative instruments	—		—


Subtotal		$	12,835	$	48		$	(17,282)	$	(286)
Total derivative instruments		$	79,193	$	82,383		$	(26,509)	$	(1,292)


	Notional amount as of December 31,
	2025		2024
Forward contracts	$	98,819	$	48,799
Call spread + coupon-only swap	89,000		89,000
Cross-currency interest rate swap	80,000		80,000
Sustainability-linked ESG principal only swap	50,000		50,000
Principal only swap	15,000		—


Derivatives in Cash Flow Hedging Relationships	(Loss) Gain Recognized in Accumulated OCI on Derivative						Loss (Gain) Reclassified from Accumulated OCI into income (loss)
	2025		2024		2023		2025		2024		2023
Forward contracts	$	(8,220)	$	4,317	$	(6,710)	$	4,505	$	(807)	$	6,172
Principal only swap	(2,419)		—		—		2,619		—		—
Cross-currency interest rate swaps	(13,775)		24,628		(14,730)		11,463		(17,632)		10,913
Call spread	(2,395)		2,469		30		14,824		(9,637)		2,385
Coupon-only swap	(5,862)		4,635		(263)		553		(472)		(1,752)
Sustainability-linked ESG principal only swap	(5,916)		12,142		(1,224)		6,327		(11,800)		2,014
Total	$	(38,587)	$	48,191	$	(22,897)	$	40,291	$	(40,348)	$	19,732


Adjustment to:	2025		2024		2023
Food and paper	$	(3,073)	$	807	$	(6,172)
Net interest expense and other financing results	(3,663)		(1,419)		(181)
Loss from derivative instruments	—		—		(6)
Foreign currency exchange results	(33,555)		40,960		(13,373)
Total	$	(40,291)	$	40,348	$	(19,732)


	Restaurant		Other		Total
2026	$	168,378	$	8,120	$	176,498
2027	162,886		7,127		170,013
2028	157,606		4,182		161,788
2029	152,232		2,699		154,931
2030	147,788		1,570		149,358
Thereafter	1,405,053		6,208		1,411,261
Total lease payments	$	2,193,943	$	29,906	$	2,223,849
Lease discount					(1,116,086)
Operating lease liability					$	1,107,763


Lease Expense	Statements of Income Location	2025		2024		2023
Operating lease expense - Minimum rentals:
Company-operated restaurants	Occupancy and other operating expenses	$	(153,178)	$	(139,265)	$	(131,613)
Franchised restaurants	Franchised restaurants - occupancy expenses	(49,511)		(47,096)		(47,975)
General and administrative	General and administrative expenses	(9,635)		(8,824)		(8,472)
Subtotal		(212,324)		(195,185)		(188,060)
Variable lease expense - Contingent rentals based on sales:
Company-operated restaurants	Occupancy and other operating expenses	(44,067)		(44,676)		(46,861)
Franchised restaurants	Franchised restaurants - occupancy expenses	(18,359)		(17,117)		(15,603)
Subtotal		(62,426)		(61,793)		(62,464)
Total lease expense		$	(274,750)	$	(256,978)	$	(250,524)


	Owned sites		Subleased sites		Total
2026	$	5,287	$	66,177	$	71,464
2027	4,469		58,250		62,719
2028	3,738		52,886		56,624
2029	3,560		46,572		50,132
2030	3,212		41,319		44,531
Thereafter	30,251		216,961		247,212
Total	$	50,517	$	482,165	$	532,682


	2025
	Amount			Percent
Foreign tax effects:
Foreign income before income taxes	341,312			100.0	%
Weighted-average statutory income tax rate (i)	38.4		%	38.4	%
Income tax expense at weighted-average statutory tax rate on foreign income before income taxes	131,033			38.4	%

Brazil	(43,268)			(12.7)	%
Tax benefits	(47,662)			(14.0)	%
Others	4,394			1.3	%
Mexico	12,602			3.7	%
Change in valuation allowance (ii)	15,318			4.5	%
Others	(2,716)			(0.8)	%
Argentina	6,574			1.9	%
Remeasurement impacts	(6,552)			(1.9)	%
Inflation adjustment for tax purposes	7,257			2.1	%
Others	5,869			1.7	%
Netherlands	9,388			2.8	%
Taxable income	12,281			3.6	%
Others	(2,893)			(0.8)	%
Other foreign jurisdictions	12,399			3.6	%
Income tax expense, net	$	128,728		37.7	%


	2025		2024
Tax loss carryforwards (i)	$	165,311	$	145,977
Purchase price allocation adjustment	11,395		10,042
Property and equipment, tax inflation adjustment	55,386		48,135
Other accrued payroll and other liabilities	58,768		41,116
Provision for contingencies, bad debts and obsolescence	24,966		15,899
Other deferred tax assets (ii)	25,169		29,316
Other deferred tax liabilities	(4,194)		(4,061)
Leases (iii)	36,595		27,052
Property and equipment - difference in depreciation rates	(36,093)		(20,375)
Valuation allowance (iv)	(235,810)		(204,898)
Net deferred tax asset	$	101,493	$	88,203


Grant	Units	Vesting period
2023	586,633	May 2026

2024	504,305	May 2027
2025	39,904	April 2026
	750,568	May 2028


	Units	Settlement
Outstanding at December 31, 2022	2,711,755	$	—
Grant 2023	769,375	—
Partial vesting of 2019 grant	(59,616)	512
Vesting and settlement of 2022 grant	(41,055)	326
Forfeited	(180,272)	—
Outstanding at December 31, 2023	3,200,187	—
Grant 2024	651,575	—
Vesting and settlement of 2019 grant	(943,288)	10,480
Vesting and settlement of 2021 grant	(692,422)	7,693
Vesting and settlement of 2023 grant	(32,599)	351
Forfeited	(5,139)	—
Outstanding at December 31, 2024	2,178,314	—
Grant 2025	845,624	—
Vesting and settlement of 2022 grant	(786,293)	6,306
Vesting and settlement of 2024 grant	(28,800)	220

Forfeited	(327,435)	—
Outstanding at December 31, 2025	1,881,410	—


	Total Non-vested
Number of units outstanding (i)	1,881,410
Current share price	7.34
Total fair value of the plan	13,810
Weighted-average accumulated percentage of service	52.13	%
Accrued liability (ii)	7,199
Compensation expense not yet recognized (iii)	6,611


	Fixed Charge Coverage Ratio	Leverage Ratio
March 31, 2025	2.14	3.80
June 30, 2025	2.05	3.53
September 30, 2025	2.26	3.24
December 31, 2025	2.17	3.36