Arcos Dorados Holdings Inc 6-K, filed Mar 16, 2022
Arcos Dorados Holdings Inc. (ARCO)
About this 6-K
Arcos Dorados Holdings Inc filed this 6-K on March 16, 2022.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of March, 2022
Commission File Number: 001-35129
Arcos Dorados Holdings Inc.
(Exact name of registrant as specified in its charter)
Dr. Luis Bonavita 1294, Office 501
Montevideo, Uruguay, 11300 WTC Free Zone
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
| Form 20-F |
X |
Form 40-F |
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
| Yes | No |
X |
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
| Yes | No |
X |
ARCOS DORADOS HOLDINGS INC.
TABLE OF CONTENTS
| ITEM | |
| 1. | Press Release dated March 16, 2022 titled “Arcos Dorados Reports Supplemental Historical Information” |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Arcos Dorados Holdings Inc. | |||||
| By: | /s/ Juan David Bastidas | ||||
| Name: | Juan David Bastidas | ||||
| Title: | Chief Legal Counsel | ||||
Date: March 16, 2022
Item 1
| FOR IMMEDIATE RELEASE |  |
ARCOS DORADOS REPORTS SUPPLEMENTAL HISTORICAL INFORMATION
Montevideo, Uruguay, March 16, 2022 – Arcos Dorados Holdings, Inc. (NYSE: ARCO) (“Arcos Dorados” or the “Company”), Latin America’s largest restaurant chain and the world’s largest independent McDonald’s franchisee, is providing restated quarterly financial information for the years 2019, 2020 and 2021, reflecting the Company’s recently-announced divisional reorganization, in order to facilitate the historical analysis of its performance:
Divisional Reorganization
Effective October 1, 2021, the Company made certain changes in its internal management structure, in order to gain operational agility, leading the Company to reorganize its operation into three geographic divisions, as follows:
| (i) | Brazil division; |
| (ii) | North Latin American division, or “NOLAD,” which is now comprised of Mexico, Puerto Rico, Costa Rica, Panama, Martinique, Guadeloupe, French Guiana, St. Croix and St. Thomas; and |
| (iii) | South Latin American division, or “SLAD,” which is now comprised of Argentina, Chile, Colombia, Ecuador, Peru, Uruguay, Venezuela, Aruba, Curaçao and Trinidad & Tobago. |
Investor Relations Contact
Dan Schleiniger
VP of Investor Relations
Arcos Dorados
daniel.schleiniger@ar.mcd.com
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Media Contact
David Grinberg
VP of Corporate Communications
Arcos Dorados
david.grinberg@mcd.com.uy
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|
 |
(In
thousands of U.S. dollars, except percentages)
| 1Q21 | 2Q21 | 3Q21 | 4Q21 | 2021 | |
| Systemwide comparable sales growth | |||||
| Brazil | -10.0% | 65.6% | 36.2% | 18.3% | 20.4% |
| NOLAD | 6.7% | 84.5% | 38.7% | 23.6% | 33.2% |
| SLAD | 51.8% | 292.1% | 161.8% | 91.1% | 117.1% |
| SLAD - Excl. Venezuela | 24.9% | 229.4% | 121.2% | 75.1% | 86.8% |
| TOTAL - Excl. Venezuela | 2.1% | 98.7% | 56.6% | 33.6% | 38.8% |
| Total Revenues | |||||
| Brazil | 203,251 | 225,740 | 275,229 | 298,561 | 1,002,781 |
| NOLAD | 173,754 | 193,271 | 204,670 | 209,171 | 780,866 |
| SLAD | 184,111 | 173,685 | 245,938 | 272,560 | 876,294 |
| SLAD - Excl. Venezuela | 182,831 | 172,266 | 243,462 | 269,398 | 867,957 |
| TOTAL | 561,116 | 592,696 | 725,837 | 780,292 | 2,659,941 |
| TOTAL - Excl. Venezuela | 559,836 | 591,277 | 723,361 | 777,130 | 2,651,604 |
| Operating Income (loss) | |||||
| Brazil | 180 | 19,995 | 36,925 | 60,787 | 117,887 |
| NOLAD | 5,141 | 8,916 | 12,487 | 22,241 | 48,785 |
| SLAD | 1,852 | 5,631 | 18,718 | 22,413 | 48,614 |
| SLAD - Excl. Venezuela | 3,727 | 6,129 | 19,093 | 23,905 | 52,853 |
| Corporate and Other | (13,981) | (16,724) | (17,389) | (27,673) | (75,767) |
| TOTAL | (6,808) | 17,818 | 50,741 | 77,768 | 139,519 |
| TOTAL - Excl. Venezuela | (4,933) | 18,316 | 51,116 | 79,260 | 143,758 |
| Adjusted EBITDA (1) | |||||
| Brazil | 13,540 | 33,819 | 52,188 | 76,056 | 175,603 |
| NOLAD | 13,836 | 19,039 | 22,273 | 30,175 | 85,323 |
| SLAD | 9,604 | 11,083 | 26,409 | 30,477 | 77,573 |
| SLAD - Excl. Venezuela | 10,418 | 12,231 | 26,691 | 31,516 | 80,856 |
| Corporate and Other | (13,050) | (16,785) | (11,583) | (25,323) | (66,741) |
| TOTAL | 23,930 | 47,156 | 89,287 | 111,385 | 271,758 |
| TOTAL - Excl. Venezuela | 24,744 | 48,304 | 89,569 | 112,424 | 275,041 |
| Adjusted EBITDA Margin (2) | |||||
| Brazil | 6.7% | 15.0% | 19.0% | 25.5% | 17.5% |
| NOLAD | 8.0% | 9.9% | 10.9% | 14.4% | 10.9% |
| SLAD | 5.2% | 6.4% | 10.7% | 11.2% | 8.9% |
| SLAD - Excl. Venezuela | 5.7% | 7.1% | 11.0% | 11.7% | 9.3% |
| TOTAL | 4.3% | 8.0% | 12.3% | 14.3% | 10.2% |
| TOTAL - Excl. Venezuela | 4.4% | 8.2% | 12.4% | 14.5% | 10.4% |
| Restaurant Footprint as of December 31, 2021 | |||||
| Ownership | Total Restaurants | ||||
| Company Operated | Franchised | ||||
| Brazil | 631 | 420 | 1,051 | ||
| NOLAD | 453 | 172 | 625 | ||
| SLAD | 495 | 90 | 585 | ||
| TOTAL | 1,579 | 682 | 2,261 | ||
| (1) | Adjusted EBITDA is a measure of our performance that is reviewed by our management. Adjusted EBITDA does not have a standardized meaning and, accordingly, our definition of Adjusted EBITDA may not be comparable to Adjusted EBITDA as used by other companies. Total Adjusted EBITDA is a non-GAAP measure. For our definition of Adjusted EBITDA, see “Item 5. Operating and Financial Review and Prospects - A. Operating Results - Key Business Measures”. |
| (2) | Adjusted EBITDA Margin is Adjusted EBITDA divided by total revenues, expressed as a percentage. |
2
|
|
(In thousands of U.S. dollars, except percentages)
| 1Q20 | 2Q20 | 3Q20 | 4Q20 | 2020 | |
| Systemwide comparable sales growth | |||||
| Brazil | -6.0% | -46.3% | -26.2% | -10.6% | -21.8% |
| NOLAD | -6.7% | -43.7% | -21.2% | -7.8% | -19.8% |
| SLAD | 31.0% | -60.1% | -22.1% | 28.8% | -6.0% |
| SLAD - Excl. Venezuela | 0.6% | -67.0% | -34.6% | -1.0% | -25.8% |
| TOTAL - Excl. Venezuela | -4.5% | -51.0% | -27.2% | -7.9% | -22.3% |
| Total Revenues | |||||
| Brazil | 284,382 | 132,234 | 192,402 | 253,730 | 862,748 |
| NOLAD | 155,531 | 102,226 | 149,279 | 177,610 | 584,646 |
| SLAD | 177,591 | 58,064 | 125,118 | 176,052 | 536,825 |
| SLAD - Excl. Venezuela | 175,994 | 57,739 | 124,225 | 174,373 | 532,330 |
| TOTAL | 617,504 | 292,524 | 466,799 | 607,392 | 1,984,219 |
| TOTAL - Excl. Venezuela | 615,907 | 292,199 | 465,906 | 605,713 | 1,979,725 |
| Operating Income (loss) | |||||
| Brazil | 11,088 | (21,135) | 7,676 | 18,492 | 16,121 |
| NOLAD | 2,653 | (9,510) | 972 | 5,915 | 30 |
| SLAD | (7,382) | (34,784) | (777) | 14,101 | (28,842) |
| SLAD - Excl. Venezuela | (5,539) | (32,388) | 774 | 16,023 | (21,130) |
| Corporate and Other | (13,494) | (11,849) | (11,932) | (16,788) | (54,063) |
| TOTAL | (7,135) | (77,278) | (4,061) | 21,720 | (66,754) |
| TOTAL - Excl. Venezuela | (5,292) | (74,882) | (2,510) | 23,642 | (59,042) |
| Adjusted EBITDA (1) | |||||
| Brazil | 29,171 | (7,099) | 21,507 | 32,576 | 76,155 |
| NOLAD | 13,415 | (2,214) | 10,874 | 19,421 | 41,496 |
| SLAD | (1,822) | (22,687) | 3,572 | 21,767 | 830 |
| SLAD - Excl. Venezuela | (332) | (21,460) | 4,355 | 22,682 | 5,245 |
| Corporate and Other | (12,241) | (10,907) | (10,919) | (16,303) | (50,370) |
| TOTAL | 28,523 | (42,907) | 25,034 | 57,461 | 68,111 |
| TOTAL - Excl. Venezuela | 30,013 | (41,680) | 25,817 | 58,376 | 72,526 |
| Adjusted EBITDA Margin (2) | |||||
| Brazil | 10.3% | -5.4% | 11.2% | 12.8% | 8.8% |
| NOLAD | 8.6% | -2.2% | 7.3% | 10.9% | 7.1% |
| SLAD | -1.0% | -39.1% | 2.9% | 12.4% | 0.2% |
| SLAD - Excl. Venezuela | -0.2% | -37.2% | 3.5% | 13.0% | 1.0% |
| TOTAL | 4.6% | -14.7% | 5.4% | 9.5% | 3.4% |
| TOTAL - Excl. Venezuela | 4.9% | -14.3% | 5.5% | 9.6% | 3.7% |
| Restaurant Footprint as of December 31, 2020 | |||||
| Ownership | Total Restaurants | ||||
| Company Operated | Franchised | ||||
| Brazil | 610 | 410 | 1,020 | ||
| NOLAD | 475 | 154 | 629 | ||
| SLAD | 491 | 96 | 587 | ||
| TOTAL | 1,576 | 660 | 2,236 | ||
| (1) | Adjusted EBITDA is a measure of our performance that is reviewed by our management. Adjusted EBITDA does not have a standardized meaning and, accordingly, our definition of Adjusted EBITDA may not be comparable to Adjusted EBITDA as used by other companies. Total Adjusted EBITDA is a non-GAAP measure. For our definition of Adjusted EBITDA, see “Item 5. Operating and Financial Review and Prospects - A. Operating Results - Key Business Measures”. |
| (2) | Adjusted EBITDA Margin is Adjusted EBITDA divided by total revenues, expressed as a percentage. |
3
|
|
(In thousands of U.S. dollars, except percentages)
| 1Q19 | 2Q19 | 3Q19 | 4Q19 | 2019 | |
| Systemwide comparable sales growth | |||||
| Brazil | 6.8% | 12.1% | 10.8% | 9.5% | 9.7% |
| NOLAD | 1.7% | 5.1% | 2.8% | 4.9% | 3.7% |
| SLAD | 31537.2% | 7543.8% | 485.1% | 374.6% | 11963.2% |
| SLAD - Excl. Venezuela | 20.8% | 24.3% | 23.8% | 16.9% | 21.5% |
| TOTAL - Excl. Venezuela | 10.0% | 14.2% | 12.7% | 10.4% | 11.8% |
| Total Revenues | |||||
| Brazil | 340,764 | 329,298 | 346,201 | 369,302 | 1,385,566 |
| NOLAD | 157,939 | 169,158 | 172,048 | 177,237 | 676,382 |
| SLAD | 232,296 | 225,288 | 231,719 | 207,827 | 897,129 |
| SLAD - Excl. Venezuela | 229,240 | 222,569 | 229,349 | 205,788 | 886,947 |
| TOTAL | 730,999 | 723,744 | 749,968 | 754,366 | 2,959,077 |
| TOTAL - Excl. Venezuela | 727,943 | 721,025 | 747,598 | 752,327 | 2,948,895 |
| Operating Income (loss) | |||||
| Brazil | 32,093 | 28,486 | 41,633 | 62,131 | 164,342 |
| NOLAD | 2,542 | 5,130 | 7,275 | 15,008 | 29,955 |
| SLAD | 9,434 | 7,556 | 8,882 | 2,024 | 27,894 |
| SLAD - Excl. Venezuela | 11,094 | 8,680 | 10,464 | 5,897 | 36,137 |
| Corporate and Other | (12,745) | (15,428) | (15,543) | (18,538) | (62,255) |
| TOTAL | 31,324 | 25,744 | 42,247 | 60,625 | 159,937 |
| TOTAL - Excl. Venezuela | 32,984 | 26,868 | 43,829 | 64,498 | 168,180 |
| Adjusted EBITDA (1) | |||||
| Brazil | 46,904 | 44,198 | 57,481 | 79,262 | 227,844 |
| NOLAD | 10,546 | 12,825 | 14,912 | 25,775 | 64,059 |
| SLAD | 16,207 | 14,578 | 18,477 | 13,781 | 63,043 |
| SLAD - Excl. Venezuela | 17,343 | 15,364 | 19,639 | 15,154 | 67,500 |
| Corporate and Other | (13,038) | (15,785) | (15,905) | (18,442) | (63,171) |
| TOTAL | 60,619 | 55,816 | 74,965 | 100,376 | 291,775 |
| TOTAL - Excl. Venezuela | 61,755 | 56,602 | 76,127 | 101,749 | 296,232 |
| Adjusted EBITDA Margin (2) | |||||
| Brazil | 13.8% | 13.4% | 16.6% | 21.5% | 16.4% |
| NOLAD | 6.7% | 7.6% | 8.7% | 14.5% | 9.5% |
| SLAD | 7.0% | 6.5% | 8.0% | 6.6% | 7.0% |
| SLAD - Excl. Venezuela | 7.6% | 6.9% | 8.6% | 7.4% | 7.6% |
| TOTAL | 8.3% | 7.7% | 10.0% | 13.3% | 9.9% |
| TOTAL - Excl. Venezuela | 8.5% | 7.9% | 10.2% | 13.5% | 10.0% |
| Restaurant Footprint as of December 31, 2019 | |||||
| Ownership | Total Restaurants | ||||
| Company Operated | Franchised | ||||
| Brazil | 612 | 411 | 1,023 | ||
| NOLAD | 456 | 199 | 655 | ||
| SLAD | 512 | 103 | 615 | ||
| TOTAL | 1,580 | 713 | 2,293 | ||
| (1) | Adjusted EBITDA is a measure of our performance that is reviewed by our management. Adjusted EBITDA does not have a standardized meaning and, accordingly, our definition of Adjusted EBITDA may not be comparable to Adjusted EBITDA as used by other companies. Total Adjusted EBITDA is a non-GAAP measure. For our definition of Adjusted EBITDA, see “Item 5. Operating and Financial Review and Prospects - A. Operating Results - Key Business Measures”. |
| (2) | Adjusted EBITDA Margin is Adjusted EBITDA divided by total revenues, expressed as a percentage. |
4