Darden Restaurants Exceeds Expectations, Forecasts Strong Growth | JQJO

Darden Restaurants, parent company of Olive Garden and LongHorn Steakhouse, exceeded Wall Street's expectations in its fiscal fourth-quarter earnings, reporting $2.98 adjusted earnings per share against an expected $2.97 and $3.27 billion in revenue against an expected $3.26 billion. Same-store sales rose 4.6%, driven by strong performance from Olive Garden (6.9% increase) and LongHorn (6.7% increase). The company forecasts 7-8% revenue growth for fiscal year 2026 and anticipates adjusted earnings between $10.50 and $10.70 per share. While the fine dining segment underperformed, CEO Rick Cardenas highlighted continued consumer spending on casual dining, attributing success to promotions like Olive Garden's 'Buy One Take One' deal. Darden also announced a $1 billion share repurchase program and is exploring strategic alternatives for its Bahama Breeze brand.