Darden Restaurants (DRI) Q1 2026 earnings
Darden Restaurants On Thursday, Olive Garden and Longhorn Steakhouse help balance the weakness in thin food business, reporting three -month mixed results.
The company also increased the full year forecast for the increase in income, although only reiterating its estimates for its earnings. The company’s shares fell more than 9% in the morning transactions.
LSEG’s analysts based on a survey, compared with what Wall Street expects, the company reported for the quarter that ended on 24 August:
- Earning per share: $ 1.97 set and expected $ 2
- Revenues: 3.04 billion dollars in line with expectations
Darden reported a net revenue of $ 257.8 million at $ 207.2 million or $ 2,19 per share from $ 207.2 million or $ 1.74 per share.
The sale of Canadian Olive Garden Restaurants, costs from the closing of the restaurant and other products, the company won $ 1.97 per share.
Net sales The company increased by 10.4% with the purchase of Chuy’s Tex-Mex restaurants last October and climbed to $ 3.04 billion.
Darden’s same store sales increased by 4.7% in the quarter. Metrik, which follows the results for at least one year open stores, does not yet contain Chuy’s restaurants. It also doesn’t contain Bahama Breeze, because the company chain is waiting to dispose of it before the end of the financial year.
Darden CEO Rick Cardenas, the company’s earning conference meeting, “All our ordinary food brands, all income groups have seen an increase in the visit every year, but especially in higher income groups.” He said. He continued: “You expect that this may be a little swap, but low -income groups may be exchanged to great value in everyday meals.”
In the last quarters, the ordinary dinner segment, the prices in fast and fast-food restaurants climbed the value offers by encouraging Diners won. In order to attract customers with price awareness, Darden kept menu price increases below the inflation rate among their brands. CFO Raj Vennam, the company’s prices in the first quarter of the first quarter of inflation is 30 basis points or 0.3%, he said.
Olive Garden, the jewel of Darden portfolio, reported 5.9%to the same store sales growth. The Italian -inspired chain constitutes more than 40% of the total income of the company. Managers, with the last partnership of the pasta bowl and first -party delivery, such as marketing initiatives, such as credit. Uber. According to Cardenas, delivery customers ordered more often than customers who eat.
Longhorn Steakhouse saw that the same store sales increased by 5.5% in the quarter and increased with a 3.2% leap in customer traffic. Even if cattle meat prices increased, Darden managers promised to keep the menu price increases of Longhorn below the inflation rate and betrayed that they would stick to the chain for the value of those who eat.
The company’s other business segment, which includes Cheddar’s Scratch Kitchen and Yard House, reported the same store sales increase by 3.3%.
Even the beautiful food work of Darden in the last quarter, the same store sales of only 0.2%reported. The Wall Street reflected a more 0.9%of the same store decrease.
Vennam, about Darden’s fine food restaurants “I think we seem to fall a little further in a business trip that causes weaknesses on weekdays.” He said.
Darden for the financial year of 2026 reflects the increase in revenue of 7.5% to 8.5% from 7% to 8% growth estimation. The company reiterated the corrected earnings estimation between $ 10.50 and $ 10.70 per share.
