Key Highlights

  • Arcos Dorados' $0.07 per-share Dividend installment trades ex-date September 21, 2026, payable September 25, yielding approximately 3.66%.
  • The payment is the third of four $0.07 installments approved March 18, 2026, covering a total 2026 distribution of $0.28 per share.
  • Second-quarter Revenue reached a record $1,305.6 million, up 14.3% year over year, with Net Income of $45.0 million, or $0.22 per diluted share.
  • Systemwide comparable sales grew 15.3% year over year, the strongest guest traffic performance in six quarters.

Arcos Dorados Holdings' (NYSE:ARCO) $0.07 per-share dividend, trading ex-date September 21, yields approximately 3.66% and represents the third of four equal installments the board approved on March 18, 2026, covering a total 2026 distribution of $0.28 per share. Through June 30, 2026, the company had paid $29.493 million of that authorized program, with the September 25 payment and a final December 29 installment remaining to complete the year's distribution.

Dividend Program and Shareholder Returns

Arcos Dorados' board approved a total 2026 shareholder distribution of $0.28 per share to Class A and Class B shareholders on March 18, 2026, structured as four equal $0.07 installments paid April 2, June 26, September 25 and December 29, 2026. The September 21 date marks the Record Date for the third installment. This is a regular shareholder distribution program rather than a single annual dividend, and the full-year rate of $0.28 is the relevant figure for evaluating annualized yield.

About the Company

Arcos Dorados Holdings is the largest independent McDonald's Franchisee in the world and the largest restaurant chain in Latin America and the Caribbean, operating company-owned and franchised McDonald's restaurants across 20 markets including Brazil, Argentina, Mexico and Colombia under a master franchise agreement with McDonald's Corporation.

Financial Performance Behind the Payout

Arcos Dorados reported record second-quarter 2026 revenue of $1,305.6 million, up 14.3% year over year in U.S. dollars, with Consolidated Adjusted EBITDA of $126.8 million, up 15.2%. Net income attributable to the company reached $45.0 million, or $0.22 per diluted share, doubling from $0.11 per share a year earlier. Systemwide comparable sales grew 15.3%, supported by digital sales rising approximately 25% year over year and representing about 66% of systemwide sales. The company opened 16 restaurants during the quarter, including 10 freestanding units, bringing the first-half total to 35 openings, and net Leverage improved to 1.1 times at quarter-end.

A Distribution Program Funded by Record Operating Results

The $0.28 total 2026 distribution is structured as four equal installments rather than a single declared rate, a format that ties the payment schedule to specific calendar dates rather than a standard quarterly cadence. This structure sits alongside a quarter in which digital sales, guest traffic and Market Share all advanced simultaneously, with Brazil's Adjusted EBITDA Margin expanding 180 basis points and identified sales reaching 28% of the total, the highest guest-identification rate in company history. Capital expenditures of $49.1 million in the quarter, part of $86 million invested in the first half of the year, funded continued restaurant expansion, with 77% of the systemwide portfolio now carrying the company's modernized restaurant format as of June 30, 2026.

Outlook

The distribution program's remaining installments are payable September 25 and December 29, 2026, completing the $0.28 total approved in March. Relevant factors include restaurant modernization progress toward full portfolio conversion, digital sales penetration trends, and net leverage relative to the 1.1 times reported at quarter-end.