From CNBC: 2024-12-19 07:32:27

Darden Restaurants met analysts’ expectations with their quarterly earnings report, showing better-than-expected same-store sales growth at Olive Garden and LongHorn Steakhouse. Shares rose 8% in premarket trading. Earnings per share were $2.03 adjusted, exceeding the expected $2.02, with revenue at $2.89 billion, slightly below the $2.9 billion estimate.

Fiscal second-quarter net income for Darden was $215.1 million, or $1.82 per share, up from $212.1 million, or $1.76 per share. Excluding Chuy’s acquisition costs, the company earned $2.03 per share. Net sales increased by 6% to $2.89 billion, with same-store sales rising by 2.4%, beating estimates.

LongHorn Steakhouse reported a remarkable 7.5% same-store sales growth, surpassing the 4.1% expected by Wall Street. Olive Garden, responsible for over 40% of Darden’s revenue, saw a 2% same-store sales growth, exceeding analysts’ 1.4% prediction. Fine-dining segment, however, reported a 5.8% same-store sales decline, higher than the 2.8% estimated decrease.

Darden’s remaining segment, including Cheddar’s Scratch Kitchen and Yard House, saw a 0.7% same-store sales growth, aligning with predictions. The company added 39 net new locations in the quarter and completed a $605 million acquisition of Chuy’s restaurants in October.



Read more at CNBC:: Darden Restaurants (DRI) Q2 2025 earnings