Arcos Dorados Holdings (MEX:ARCO N) Interest Expense: MXN-707 Mil (TTM As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

MEX:ARCO N Arcos Dorados Holdings Inc MEX:ARCO N
86 GF Score
Price MXN142.50
GF Value MXN166.40
Valuation Modestly Undervalued
! 6 Warning Signs
View Full Analysis

What is Arcos Dorados Holdings Interest Expense?

Arcos Dorados Holdings MEX:ARCO N 86 Interest Expense is MXN-707 Mil as of Mar. 2026. GuruFocus rates MEX:ARCO N with a GF Score™ of 86/100 and a GF Value™ of MXN166.40 (Modestly Undervalued). The stock has 6 warning signs investors should review.

Interest Expense is the amount reported by a company or individual as an expense for borrowed money. Arcos Dorados Holdings's interest expense for the three months ended in Mar. 2026 was MXN -257 Mil. Its interest expense for the trailing twelve months (TTM) ended in Mar. 2026 was MXN-707 Mil.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income(EBIT) by its Interest Expense. Arcos Dorados Holdings's Operating Income for the three months ended in Mar. 2026 was MXN 1,132 Mil. Arcos Dorados Holdings's Interest Expense for the three months ended in Mar. 2026 was MXN -257 Mil. Arcos Dorados Holdings's Interest Coverage for the quarter that ended in Mar. 2026 was 4.40. The higher the ratio, the stronger the company's financial strength is. Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Arcos Dorados Holdings  (MEX:ARCO N) Interest Expense Explanation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense. The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Arcos Dorados Holdings's Interest Expense for the three months ended in Mar. 2026 was MXN-257 Mil. Its Operating Income for the three months ended in Mar. 2026 was MXN1,132 Mil. And its Long-Term Debt & Capital Lease Obligation for the three months ended in Mar. 2026 was MXN36,334 Mil.

Arcos Dorados Holdings's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*1131.804/-257.11
=4.40

* 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.

The higher the ratio, the stronger the company's financial strength is.


Arcos Dorados Holdings Interest Expense Historical Data

* Premium members only.

The historical data trend for Arcos Dorados Holdings's Interest Expense 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 Interest Expense Chart

Arcos Dorados Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Expense
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1,016.39 -852.95 -547.84 -985.18 -245.96

Arcos Dorados Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Expense 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 -339.44 -348.02 0.00 -101.84 -257.11
MEX:ARCO N
86GF Score
Arcos Dorados Holdings Inc MEX:ARCO N
Interest Expense is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arcos Dorados Holdings Interest Expense Calculation

Interest Expense is the amount reported by a company or individual as an expense for borrowed money.

Interest Expense for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was MXN-707 Mil.

* 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.

Frequently Asked Questions Learn more about Interest Expense →
What does a Interest Expense of MXN-707 Mil mean?
Arcos Dorados Holdings (MEX:ARCO N) has a Interest Expense of MXN-707 Mil as of Mar. 2026. Interest Expense is the amount a company pays on its long-term debt. View historical data on Arcos Dorados Holdings and its competitors.
Is Arcos Dorados Holdings' Interest Expense too high?
Arcos Dorados Holdings' current Interest Expense is MXN-707 Mil. Overall, Arcos Dorados Holdings has a GF Score™ of 86/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arcos Dorados Holdings' Interest Expense compare to BJRI and WEN?
Arcos Dorados Holdings' Interest Expense of MXN-707 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 Interest Expense for a Restaurants company?
A good Interest Expense depends on the Restaurants industry context. However, Interest Expense 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 Interest Expense mean?
A high Interest Expense can signal that a stock is expensive relative to its fundamentals. Interest Expense is the amount a company pays on its long-term debt. View historical data on Arcos Dorados Holdings and its competitors. Arcos Dorados Holdings's current Interest Expense is MXN-707 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 (MEX:ARCO N) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN166.40, compared to a current price of MXN142.50 — trading 14.4% below its estimated fair value. The current Interest Expense is MXN-707 Mil. Arcos Dorados Holdings' overall GF Score™ is 86/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Expense calculated?
Interest Expense is calculated from a company's financial statements. For Arcos Dorados Holdings (MEX:ARCO N), the current Interest Expense is MXN-707 Mil as of Mar. 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 (MEX:ARCO N) Overvalued in 2026?

Based on GuruFocus' analysis, Arcos Dorados Holdings stock appears to be undervalued. The current stock price of MXN142.50 is trading 14.4% below its estimated GF Value™ of MXN166.40. GuruFocus considers Arcos Dorados Holdings to be Modestly Undervalued.

Key valuation signals for MEX:ARCO N:

  • Interest Expense: MXN-707 Mil
  • GF Value™: MXN166.40 vs. price of MXN142.50 (14.4% below fair value)
  • GF Score™: 86/100 with 6 warning signs

No single metric tells the full story. See the MEX:ARCO N 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.
86GF Score

Get the complete analysis for MEX:ARCO N

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

MXN142.50
Price
MXN166.40
GF Value