MEAL3 International Meal Company Alimentação

International Meal Company Alimentação S.A., known in the market by the ticker MEAL3, is a food retail company originating in Brazil with operations also in the United States. The company began to take shape in 2006, when the Advent International fund started consolidating food service businesses in Latin America, beginning with the acquisition of Grupo La Mansión in Mexico and entry into airport food services in the Dominican Republic. In 2007, the creation of R.O.D.S.P.E. Empreendimentos e Participações S.A. marked the start of operations in Brazil, with the acquisition of Grupo RA Catering, whose history dates back to 1968 and the development of catering and restaurant operations at large airports. From this nucleus, the company underwent several corporate changes and expansions, including the acquisition of the Viena and Frango Assado chains, which consolidated its presence in the out‑of‑home meals segment in high‑traffic locations.

Over the following years, International Meal Company Alimentação expanded its international presence through acquisitions and airport concessions in the Dominican Republic, Panama and Colombia, in addition to entering themed restaurant operations in the United States. The company also established partnerships with major global franchisors such as CKE Restaurants (Carl’s Jr.) and Darden Restaurants (Red Lobster, Olive Garden and LongHorn Steakhouse), expanding its portfolio of brands and formats. Starting in 2016, it initiated a divestment process of assets in Mexico, the Caribbean and later in Panama and Colombia, focusing on simplifying its corporate structure and concentrating on markets considered strategic. In 2017 and 2020, it carried out public share offerings on B3, with secondary and primary offerings, reinforcing its position as a publicly traded company and financing stages of reorganization and operational growth.

International Meal Company Alimentação’s business model is centered on operating restaurants, snack bars and airline catering services, with a strong presence in high‑traffic locations such as highways, airports, shopping malls, hospitals and commercial centers. The company combines company‑owned stores and franchised units in a hybrid platform that seeks to capture scale gains in logistics, production and management, while using franchising as an expansion mechanism and to increase the reach of global brands such as KFC and Pizza Hut. The group manages different service formats, from fast food and quick casual to themed casual dining restaurants, serving multiple out‑of‑home consumption profiles. Revenue comes mainly from direct sales of meals, beverages and related products to end consumers, with a smaller contribution from fuel sales at highway service areas under the Frango Assado brand.

Among the main brands operated by the company in Brazil are Frango Assado, Pizza Hut, KFC, Viena, Brunella, Batata and RA Catering. Frango Assado is a chain with 23 units on highways in the State of São Paulo and connecting roads, combining a restaurant, minimarket and, in many cases, gas station, focused on serving travelers and road transportation. Pizza Hut and KFC form the core of global fast food chains under IMC’s management, with hundreds of stores spread across several Brazilian states, operated both as company‑owned and franchised units, generally located in shopping malls, high‑traffic streets and delivery operations. The Viena, Brunella and Batata Inglesa brands complement the portfolio with buffet, coffee shop, pastry shop, snack bar concepts and a specialty in stuffed potatoes, while RA Catering supplies meals to airlines and operates at Brazilian airports. In the United States, the company mainly operates the Margaritaville chain, focused on themed casual dining in tourist destinations and metropolitan centers, with a strong concentration in Florida.

International Meal Company Alimentação’s operational structure is organized into segments that reflect customer categories and business formats. The reported segments include Frango Assado, Airports, PH, KFC & Others, and United States, to which the Caribbean operations were added until 2023, later discontinued. In 2024, consolidated net revenue reached just over R$ 2.2 billion, distributed among Frango Assado, Airports, PH, KFC & Others and United States, with a relatively balanced split between operations in Brazil and the North American market. The PH, KFC & Others segment concentrates the company’s presence in shopping malls and commercial centers in Brazil, while the Airports segment includes restaurants, coffee shops and catering in domestic terminals. The company is not dependent on large concentrated contracts, as no individual customer accounted for more than 10% of net revenue in 2023 and 2024, which underscores the highly diversified nature of its customer base.

On the production side, IMC adopts a mixed model of centralized and decentralized production. In Brazil, the company operates a central kitchen in Louveira, in the State of São Paulo, with capacity of up to 740 tons per month in three shifts, used at a lower occupancy level during 2024 and responsible for a relevant share of the volume of food supplied to the Frango Assado network. In the other segments, such as airports, Pizza Hut, KFC and operations in the United States, production is predominantly carried out in the units themselves, with standardized processes and inputs supplied by approved distributors. Supply of restaurants linked to the central kitchen is handled by third‑party refrigerated logistics companies, while airline catering operations have their own fleets of support and scissor‑lift trucks at airports such as Brasília, Congonhas, Confins, Porto Alegre and Viracopos, responsible for transporting and supplying food directly to aircraft.

International Meal Company Alimentação’s geographic presence is concentrated in Brazil and units in the United States, after a period of retrenchment from other Latin American and Caribbean countries. In Brazil, the company operates in multiple states, with emphasis on São Paulo and Rio de Janeiro, where the Frango Assado, Viena, Brunella and Batata Inglesa operations are concentrated, along with the extensive KFC and Pizza Hut network spread across most of the country’s states. The North American operation, structured mainly around the Margaritaville brand, is present in tourist cities and regions with intense leisure activity, with a concentration in the state of Florida. The successive divestments of assets in Mexico, the Dominican Republic, Puerto Rico, Panama and Colombia reflect a strategy of focusing on markets considered priorities, simplifying the company’s international operating footprint.

IMC’s operations are subject to a significant regulatory framework, especially regarding health and sanitation. In Brazil, units that handle food must comply with the health surveillance standards established by the National Health Surveillance Agency (ANVISA) and local health authorities, including the adoption of good practices defined in specific resolutions, maintenance of standardized operating manuals and procedures, sanitary licensing and obtaining operating permits. Non‑compliance with the rules may result in penalties such as fines, product interdiction, suspension of sales, cancellation of registrations and even closure of establishments, which makes compliance management a central element of the operation. In addition, the business is subject to oversight by professional councils, such as nutrition councils, regarding the exercise of technical activities and the presence of qualified professionals in charge.

In terms of management and operational efficiency, International Meal Company Alimentação has set up corporate areas to support operations, such as a Shared Services Center, an Operational Control Center and a pricing intelligence area, which monitor indicators, standardize processes and analyze data to support decisions on store openings, menu definition and pricing strategies. The company has also advanced its digital transformation initiatives since 2021, incorporating proprietary and third‑party channels for ordering and delivering meals, which ties into the direct sales model and expands the reach of brands such as KFC, Pizza Hut and Frango Assado. The common shares issued by International Meal Company Alimentação S.A. are traded on B3 under the ticker MEAL3, giving the company visibility in the Brazilian capital markets and subjecting it to the governance practices required of publicly held companies, including transparency in the disclosure of financial and operating information.