Arcos Dorados Holdings (FRA:AD8) Gross Profit: €529 Mil (TTM As of Jun. 2026)

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FRA:AD8 Arcos Dorados Holdings Inc FRA:AD8
89 GF Score
Price €6.56
GF Value €8.02
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Arcos Dorados Holdings Gross Profit?

Arcos Dorados Holdings FRA:AD8 -1.28% 89 Gross Profit is €529 Mil as of Jun. 2026. GuruFocus rates FRA:AD8 with a GF Score™ of 89/100 and a GF Value™ of €8.02 (Modestly Undervalued). The stock has 4 warning signs investors should review.

Arcos Dorados Holdings's gross profit for the three months ended in Jun. 2026 was €135 Mil. Arcos Dorados Holdings's gross profit for the trailing twelve months (TTM) ended in Jun. 2026 was €529 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Arcos Dorados Holdings's gross profit for the three months ended in Jun. 2026 was €135 Mil. Arcos Dorados Holdings's Revenue for the three months ended in Jun. 2026 was €1,123 Mil. Therefore, Arcos Dorados Holdings's Gross Margin % for the quarter that ended in Jun. 2026 was 12.06%.

Arcos Dorados Holdings had a gross margin of 12.06% for the quarter that ended in Jun. 2026 => No sustainable competitive advantage

During the past 13 years, the highest Gross Margin % of Arcos Dorados Holdings was 13.78%. The lowest was 5.82%. And the median was 12.77%.


Arcos Dorados Holdings  (FRA:AD8) Gross Profit Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Arcos Dorados Holdings had a gross margin of 12.06% for the quarter that ended in Jun. 2026 => No sustainable competitive advantage


Arcos Dorados Holdings Gross Profit Related Terms


Arcos Dorados Holdings Gross Profit Historical Data

* Premium members only.

The historical data trend for Arcos Dorados Holdings's Gross Profit 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.

Arcos Dorados Holdings Gross Profit Chart

Arcos Dorados Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 274.59 468.46 546.13 546.13 511.43

Arcos Dorados Holdings Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Gross Profit 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 116.90 122.71 156.61 114.22 135.37

FRA:AD8 vs WEN, BJRI, CBRL: Gross Profit Comparison

For the Restaurants subindustry, Arcos Dorados Holdings's Gross Profit, along with its competitors' market caps and Gross Profit 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 Gross Profit vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Arcos Dorados Holdings's Gross Profit distribution charts can be found below:

* The bar in red indicates where Arcos Dorados Holdings's Gross Profit falls into.


FRA:AD8
89GF Score
Arcos Dorados Holdings Inc FRA:AD8
Gross Profit is just one metric. See GF Score™, valuation, warning signs, and more.
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Arcos Dorados Holdings Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Arcos Dorados Holdings's Gross Profit for the fiscal year that ended in Dec. 2025 is calculated as

Gross Profit (A: Dec. 2025 )=Revenue - Cost of Goods Sold
=4145.2688292825 - 3633.8367215599
=511

Arcos Dorados Holdings's Gross Profit for the quarter that ended in Jun. 2026 is calculated as

Gross Profit (Q: Jun. 2026 )=Revenue - Cost of Goods Sold
=1122.9234872412 - 987.55349442709
=135

Gross Profit for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €529 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Arcos Dorados Holdings's Gross Margin % for the quarter that ended in Jun. 2026 is calculated as

Gross Margin % (Q: Jun. 2026 )=Gross Profit (Q: Jun. 2026 ) / Revenue (Q: Jun. 2026 )
=(Revenue - Cost of Goods Sold) / Revenue
=135 / 1122.9234872412
=12.06 %

* 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.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.

Frequently Asked Questions Learn more about Gross Profit →
What does a Gross Profit of €529 Mil mean?
Arcos Dorados Holdings (FRA:AD8) has a Gross Profit of €529 Mil as of Jun. 2026. Gross Profit equals net sales less total cost of goods sold. View historical data on Arcos Dorados Holdings and its competitors.
Is Arcos Dorados Holdings' Gross Profit too high?
Arcos Dorados Holdings' current Gross Profit is €529 Mil. Overall, Arcos Dorados Holdings has a GF Score™ of 89/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arcos Dorados Holdings' Gross Profit compare to WEN and BJRI?
Arcos Dorados Holdings' Gross Profit of €529 Mil can be compared against companies in the Restaurants industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Profit for a Restaurants company?
A good Gross Profit depends on the Restaurants industry context. However, Gross Profit should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Profit mean?
A high Gross Profit can signal that a stock is expensive relative to its fundamentals. Gross Profit equals net sales less total cost of goods sold. View historical data on Arcos Dorados Holdings and its competitors. Arcos Dorados Holdings's current Gross Profit is €529 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arcos Dorados Holdings stock overvalued right now?
Based on GuruFocus' analysis, Arcos Dorados Holdings (FRA:AD8) is currently considered Modestly Undervalued. The stock's GF Value™ is €8.02, compared to a current price of €6.56 — trading 18.2% below its estimated fair value. The current Gross Profit is €529 Mil. Arcos Dorados Holdings' overall GF Score™ is 89/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Profit calculated?
Gross Profit is calculated from a company's financial statements. For Arcos Dorados Holdings (FRA:AD8), the current Gross Profit is €529 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Arcos Dorados Holdings (FRA:AD8) Overvalued in 2026?

Based on GuruFocus' analysis, Arcos Dorados Holdings stock appears to be undervalued. The current stock price of €6.56 is trading 18.2% below its estimated GF Value™ of €8.02. GuruFocus considers Arcos Dorados Holdings to be Modestly Undervalued.

Key valuation signals for FRA:AD8:

  • Gross Profit: €529 Mil
  • GF Value™: €8.02 vs. price of €6.56 (18.2% below fair value)
  • GF Score™: 89/100 with 4 warning signs

No single metric tells the full story. See the FRA:AD8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arcos Dorados Holdings Business Description

Address Rio Negro 1338, First Floor, Montevideo, URY, 11100
Arcos Dorados Holdings Inc operates McDonald's branded restaurants in various countries and territories in Latin America and the Caribbean. The Company manages its business as distinct geographic segments and its operations are divided into three geographic divisions, as follows: Brazil, the North Latin American division, or NOLAD, which is comprised of Costa Rica, Mexico, Panama, Puerto Rico, Martinique, Guadeloupe, French Guiana and the U.S. Virgin Islands of St. Croix and St. Thomas and the South Latin American division, or SLAD, which is comprised of Argentina, Chile, Ecuador, Peru, Uruguay, Colombia, Venezuela, Trinidad and Tobago, Aruba and Curacao. Its menu includes hamburgers, McNuggets, salad, sandwiches, French fries, and others. It generates maximum revenue from Brazil.
89GF Score

Get the complete analysis for FRA:AD8

Gross Profit is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€6.56
Price
€8.02
GF Value