Darden Restaurants Q1 earnings missed expectations, revenue decreased, but CEO remains optimistic

From CNBC: 2024-09-19 07:31:31

Darden Restaurants reported weaker-than-expected earnings and revenue due to sales decline at Olive Garden and fine dining locations. CEO Rick Cardenas expressed confidence in the business despite falling short in the first quarter. Shares rose 10% in premarket trading. Earnings per share were $1.75 vs. expected $1.83, with revenue at $2.76 billion vs. expected $2.8 billion. Net income rose to $207.2 million.

Olive Garden’s same-store sales dropped 2.9% while fine dining segment saw a 6% decline. LongHorn Steakhouse was the sole division with a 3.7% same-store sales growth. Darden plans to revive the Never Ending Pasta Bowl at Olive Garden to attract customers. Despite the quarter, full-year forecast remains the same with $9.40 to $9.60 earning per share and $11.8 billion to $11.9 billion in net sales.



Read more at CNBC:: Darden Restaurants (DRI) Q1 2025 earnings