Arcos Dorados Announces Management Changes
MONTEVIDEO, Uruguay--(BUSINESS WIRE)--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, today announced its Board of Directors has appointed Luis Raganato as Arcos Dorados' new Chief Executive Officer, effective July 1, 2025. Mr. Raganato succeeds Marcelo Rabach, who decided to step down from the CEO position but will remain a member of the Company's Board of Directors.
'Luis began his career with us in 1991, as a crew member in one of our restaurants in Córdoba, Argentina. By the time we appointed him Chief Operating Officer in 2019, he had established a successful track record at every level of our operation. It did not take long for Luis to again prove his leadership abilities, as he played an instrumental role in guiding Arcos Dorados through the global pandemic of 2020. Coming out of that challenging period, he worked with the ADvance digital team to further the digitalization of the operation, which was a key driver of the record financial results of the last several years,' said Woods Staton, Executive Chairman of the Board.
'For the last six years, Luis has partnered with Marcelo to take Arcos Dorados to new heights, and I am confident he is the right person to lead us into our next phase of growth. His experience, vision and commitment to our values will ensure we build an even brighter future for our Company and all its stakeholders. I would like to express my heartfelt gratitude to Marcelo for 35 stellar years at Arcos Dorados. He is leaving the Company in as strong a position as ever and, although he will no longer lead the day-to-day operation, I am very pleased that Marcelo will remain a member of our Board of Directors to help steer the Company's strategy into the future,' Mr. Staton concluded.
'I am honored to have been appointed the next CEO of Arcos Dorados. I would like to thank Woods and the other members of our Board for this incredible opportunity. We have come a long way on our journey to become Latin America and the Caribbean's largest and most successful QSR operator and I am certain that we still have a huge opportunity to continue growing for the foreseeable future,' said Mr. Raganato. 'I worked directly with Marcelo for more than ten years, beginning when I became President of the Caribbean Division and he was COO, and for the last six years as COO of Arcos Dorados. Together, we helped develop the Company's long-term strategy and I am committed to generating value for all our stakeholders.'
Mr. Raganato served as the Company's Chief Operating Officer beginning in July 2019. Prior to his appointment as COO, he was the Divisional President for the Caribbean, and before that, the Managing Director of Arcos Dorados in Peru. Mr. Raganato began his career at Arcos Dorados in 1991 as a Trainee in the Nuevocentro Shopping Center location in the province of Córdoba, Argentina and has held various positions in Operations Management over the course of his career with Arcos Dorados. Mr. Raganato holds a bachelor's degree in business administration from Instituto Aeronáutico de Argentina, a master's degree in marketing and business development from Escuela Superior de Estudios de Marketing de Madrid and an MBA from Universidad de Piura, Peru.
Carlos Gonzalez appointed as Arcos Dorados' new Chief Operating Officer
Carlos Gonzalez, who currently serves as President of the South Latin American Division, will succeed Mr. Raganato as Chief Operating Officer, also effective July 1, 2025. Mr. Gonzalez began his career in the financial and automotive sectors before joining McDonald's Chile in 2000. During his tenure, he held various operational and leadership roles within the Company, including as Managing Director for Chile, from 2011 to 2024. Mr. Gonzalez has a degree in public administration from the University of Chile in 1989 and has completed various postgraduate studies in marketing and management as well as a master's in business management from Adolfo Ibáñez University in Santiago, Chile.
About Arcos Dorados
Arcos Dorados is the world's largest independent McDonald's franchisee, operating the largest quick service restaurant chain in Latin America and the Caribbean. It has the exclusive right to own, operate and grant franchises of McDonald's restaurants in 20 Latin American and Caribbean countries and territories with more than 2,400 restaurants, operated by the Company or by its sub-franchisees, that together employ more than 100 thousand people (as of 03/31/2025). The Company is also committed to the development of the communities in which it operates, to providing young people their first formal job opportunities and to utilize its Recipe for the Future to achieve a positive environmental impact. Arcos Dorados is listed for trading on the New York Stock Exchange (NYSE: ARCO). To learn more about the Company, please visit the Investors section of our website: www.arcosdorados.com/ir.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
5 hours ago
- Yahoo
HSBC Upgrades Dr. Reddy's Laboratories Limited (RDY) to Buy from Hold
On June 5, HSBC upgraded Dr. Reddy's Laboratories Limited (NYSE:RDY) from Buy to Hold, raising the price target to INR1,445 from INR1,235, citing an optimistic outlook for the company in terms of earnings potential and solid market standing. A worker at a biopharmaceutical facility packaging an active pharmaceutical ingredient. HSBC's updated estimates for FY2026 to FY2028 take into account the shifting market tide for semaglutide and gRevlimid. The analysts are waiting for semaglutide to be introduced in Canada, Brazil, and India at the beginning of FY2027, which is a greater leap from their prior hypothesis of a launch only in Canada by Q4 of FY2026. The analysts revised their FY2026 sales figures for Dr. Reddy's Laboratories Limited (NYSE:RDY)'s gRevlimid, noting the growing competition. The adjustment includes a 5.1% decrease in the EPS estimate for FY2026, while the EPS forecast for FY2027 and FY2028 grew by 12% to 13%. According to HSBC analysts, the expected surge in semaglutide sales will strengthen Dr. Reddy's earnings. HSBC assigned a new price target for RDY's American Depositary Receipts (ADR) as well, raising it from $14.44 to $16.90. Dr. Reddy's Laboratories Limited (NYSE:RDY) is a global pharma company based in Hyderabad, India, that makes both branded and generic medicines for a wide range of health conditions. The company operates through Global Generics, Pharmaceutical Services and Active Ingredients (PSAI), and Others segments. While we acknowledge the potential of RDY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 hours ago
- Yahoo
UBS Upholds Buy Recommendation on Deckers Outdoor (DECK)
On June 5, UBS analysts maintained a Buy rating on Deckers Outdoor Corporation (NYSE:DECK) with a price target of $169. The analysts expect Decker's EPS to top market estimates over the coming year as sales projections increase for its Hoka brand. They also anticipate UGG to keep up its record as a major global casual footwear brand. A customer browsing a retail store, finding the perfect footwear for their casual outfits. The analysts were confident that Deckers Outdoor Corporation (NYSE:DECK) could deliver a low double-digit compound annual sales growth. They forecast that this growth could drive Deckers' forward PE ratio over 20x, compared to the present 16.7x. The $169 price target by UBS reflects a 60% upside for DECK. The stock has plummeted nearly 47% over the last six months, which signals a buying opportunity. After discussions with company management on June 4, the analysts were optimistic about Deckers Outdoor Corporation (NYSE:DECK)'s potential for growth. Despite the market showing caution with reference to the Hoka brand's capacity to sustain robust growth, UBS believes that DECK is perfectly tackling concerns about industry competition, evolving fashion trends, and dependence on Clifton and Bondi franchises. The analysts see double-digit revenue growth for Hoka in the next few years. Deckers Outdoor Corporation (NYSE:DECK) designs and markets premium footwear and apparel worldwide with brands like UGG and HOKA. The company was established in 1973 and is headquartered in Goleta, California. While we acknowledge the potential of DECK as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds. Disclosure: None. Sign in to access your portfolio
Yahoo
8 hours ago
- Yahoo
Lemonade Inc (LMND) Q1 2025 Earnings Call Highlights: Strong Revenue Growth Amidst Challenges
Revenue: Increased 27% year-on-year to $151 million in Q1 2025. In Force Premium (IFP): Grew 27% to just above $1 billion. Customer Count: Increased by 21% to 2.5 million. Premium per Customer: Increased 4% to $396. Annual Retention Rate (ADR): Decreased to 84% from 86% in the prior quarter. Gross Earned Premium: Increased 24% to $234 million. Gross Loss Ratio: 78% for Q1, compared to 79% in Q1 2024. Adjusted Gross Profit: Improved 25% year-on-year. Net Loss: $62 million, or a loss of $0.86 per share. Adjusted EBITDA Loss: $47 million in Q1. Total Cash, Cash Equivalents, and Investments: Approximately $996 million. Growth Spend: $38 million in Q1, nearly double the prior year quarter. Technology Development Expense: Increased 5% to $22 million. General and Administrative (G&A) Expense: Increased 20% to $36 million. Warning! GuruFocus has detected 3 Warning Signs with LMND. Release Date: May 06, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Lemonade Inc (NYSE:LMND) reported a 27% year-on-year growth in Q1 2025, marking the sixth consecutive quarter of accelerating top-line growth. The company achieved a 25% year-on-year improvement in adjusted gross profit, despite the impact of California wildfires. Lemonade Car's quarter-over-quarter in-force premium (IFP) growth outpaced the rest of the business for the first time, signaling strong momentum. The company is on track to achieve EBITDA breakeven by the end of 2026, with expectations of generating positive adjusted free cash flow in 2025. Lemonade Inc (NYSE:LMND) has successfully leveraged AI to maintain or reduce fixed costs while significantly increasing its book size, demonstrating strong operational efficiency. The California wildfires had a notable impact on Q1 results, contributing 16 percentage points to the gross loss ratio. Annual dollar retention (ADR) decreased to 84%, down from 86% in the prior quarter, partly due to efforts to improve profitability in the home insurance book. The gross loss ratio for Q1 was 78%, slightly higher than the previous year's 79%, indicating ongoing challenges in managing claims costs. Operating expenses, excluding loss and loss adjustment expense, increased by 29% year-on-year, driven by growth spend and the impact of the FAIR plan assessment. Net loss for Q1 was $62 million, or $0.86 per share, compared to a net loss of $47 million or $0.67 per share in the prior year, reflecting ongoing financial challenges. Q: Can you elaborate on the timeline for reaching EBITDA profitability and what levers will drive this? A: Daniel Schreiber, CEO, explained that Lemonade aims to achieve adjusted EBITDA breakeven by the end of 2026, with 2027 being the first full year of positive adjusted EBITDA. The company expects gross profit to grow faster than fixed costs, driven by AI efficiencies, bringing them closer to profitability. Q: What impact did the California wildfires have on gross profit, and how are tariffs affecting your full-year guidance? A: Tim Bixby, CFO, noted that the California wildfires had a $44 million gross impact, aligning with prior estimates. The tariff impact is expected to be modest, with single-digit percentage effects on claims. Lemonade is comfortable with its full-year guidance, assuming a modest headwind from tariffs. Q: How is Lemonade's Car business performing, and what are the plans for geographic expansion? A: Daniel Schreiber, CEO, highlighted that Lemonade Car is growing faster than the rest of the business, with a focus on refining the product before expanding geographically. The company is currently available to 40% of the U.S. market and plans to expand further once the product is optimized. Q: How is AI impacting Lemonade's competitive position in the insurance industry? A: Daniel Schreiber, CEO, emphasized that Lemonade's AI capabilities allow for better data utilization and risk assessment compared to traditional insurers. The company's digital infrastructure enables it to connect data points effectively, providing a competitive advantage in pricing and customer acquisition. Q: What percentage of new car sales are cross-sales from existing Lemonade customers? A: Tim Bixby, CFO, stated that about half of new car sales are cross-sales from existing customers, up from a third previously. This trend is expected to continue, leveraging Lemonade's existing customer base for more efficient growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
