Darden Restaurants\u00a0on Thursday reported weaker-than-expected sales as Olive Garden and LongHorn Steakhouse underperformed analysts\u2019 projections.<\/p>\n
Shares of the company were up in premarket trading.<\/p>\n
Here\u2019s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG:<\/p>\n
Darden reported fiscal third-quarter net income of $323.4 million, or $2.74 per share, up from $312.9 million, or $2.60 per share, a year earlier.<\/p>\n
Excluding costs related to its acquisition of Chuy\u2019s, Darden earned $2.80 per share.<\/p>\n
Net sales\u00a0rose 6.2% to $3.16 billion, fueled largely by the addition of Chuy\u2019s restaurants to its portfolio.<\/p>\n
Darden\u2019s same-store sales rose 0.7%, less than the 1.7% increase expected by analysts, according to StreetAccount estimates.<\/p>\n
Both Olive Garden and LongHorn Steakhouse, which are typically the two standouts of Darden\u2019s portfolio, reported underwhelming same-store sales growth. Olive Garden\u2019s same-store sales rose 0.6%. Analysts were anticipating same-store sales growth of 1.5%. And LongHorn\u2019s same-store sales increased 2.6%, missing analysts\u2019 expectations of 5% growth.<\/p>\n
Darden\u2019s fine dining segment, which includes The Capital Grille and Ruth\u2019s Chris Steak House, reported same-store sales declines of 0.8%.<\/p>\n
The last segment of Darden\u2019s business, which includes Cheddar\u2019s Scratch Kitchen and Yard House, saw same-store sales shrink 0.4% in the quarter.<\/p>\n
For the full year, Darden reiterated its forecast for revenue of $12.1 billion. It narrowed its outlook for adjusted earnings from continuing operations to a range of $9.45 to $9.52 per share. Its prior forecast was $9.40 to $9.60 per share.<\/p>\n
Darden\u2019s fiscal 2025 outlook includes Chuy\u2019s results, but the Tex-Mex chain won\u2019t be included in its same-store sales metrics until the fiscal fourth quarter in 2026.<\/p>\n<\/p>\n
Darden Restaurants\u00a0on Thursday reported weaker-than-expected sales as Olive Garden and LongHorn Steakhouse underperformed analysts\u2019 projections. Shares of the company were up in premarket trading. Here\u2019s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG: Darden reported fiscal third-quarter net income of $323.4 million, or $2.74 […]<\/p>\n","protected":false},"author":0,"featured_media":16105,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-16104","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/16104","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/comments?post=16104"}],"version-history":[{"count":0,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/16104\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media\/16105"}],"wp:attachment":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media?parent=16104"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/categories?post=16104"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/tags?post=16104"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}