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Arcos Dorados Holdings (Arcos Dorados Holdings) 3-Year RORE % : 57.92% (As of Sep. 2023)


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What is Arcos Dorados Holdings 3-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Arcos Dorados Holdings's 3-Year RORE % for the quarter that ended in Sep. 2023 was 57.92%.

The industry rank for Arcos Dorados Holdings's 3-Year RORE % or its related term are showing as below:

ARCO's 3-Year RORE % is ranked better than
82.82% of 326 companies
in the Restaurants industry
Industry Median: -1.965 vs ARCO: 57.92

Arcos Dorados Holdings 3-Year RORE % Historical Data

The historical data trend for Arcos Dorados Holdings's 3-Year RORE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Arcos Dorados Holdings 3-Year RORE % Chart

Arcos Dorados Holdings Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
3-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.57 -19.62 333.22 62.50 -4,477.42

Arcos Dorados Holdings Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
3-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -948.18 -4,477.42 329.70 103.06 57.92

Competitive Comparison of Arcos Dorados Holdings's 3-Year RORE %

For the Restaurants subindustry, Arcos Dorados Holdings's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Arcos Dorados Holdings's 3-Year RORE % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Arcos Dorados Holdings's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Arcos Dorados Holdings's 3-Year RORE % falls into.



Arcos Dorados Holdings 3-Year RORE % Calculation

Arcos Dorados Holdings's 3-Year RORE % for the quarter that ended in Sep. 2023 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( 0.854-0.108 )/( 1.588-0.3 )
=0.746/1.288
=57.92 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Sep. 2023 and 3-year before.


Arcos Dorados Holdings  (NYSE:ARCO) 3-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Arcos Dorados Holdings 3-Year RORE % Related Terms

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Arcos Dorados Holdings (Arcos Dorados Holdings) Business Description

Address
Dr. Luis Bonavita 1294, Office 501, WTC Free Zone, Montevideo, URY, 11300
Arcos Dorados Holdings Inc operates McDonald's-branded restaurants in approximately 20 countries and territories in Latin America and the Caribbean. It functions through two sources which include company-operated restaurants and franchised restaurants segment. Their menu includes hamburgers, McNuggets, salad, sandwiches, french fries and others.

Arcos Dorados Holdings (Arcos Dorados Holdings) Headlines