Darden Restaurants (NYSE:DRI) on Thursday reported mixed quarterly results as Olive Garden’s same-store sales fell for the second consecutive quarter.
For fiscal 2025, Darden is forecasting that its same-store sales will grow just 1% to 2%.
Here’s what the company reported compared with what Wall Street was expecting for the quarter ended May 26, based on a survey of analysts by LSEG:
Earnings per share came in at $2.65 adjusted vs. $2.61 expected
Revenue proved $2.96 billion vs. $2.97 billion expected
Darden reported fiscal fourth-quarter net income of $308.1 million, or $2.57 per share, down from $315.1 million, or $2.58 per share, a year earlier.
Excluding costs related to the Ruth’s Chris acquisition and other items, the company earned $2.65 per share.
Net sales rose 6.8% to $2.96 billion, fueled by its acquisition of Ruth’s Chris Steak House and 37 other net new locations.
Darden’s overall same-store sales were flat for the quarter, dragged down by weaker-than-expected sales at Olive Garden and its fine-dining restaurants.
Olive Garden’s same-store sales fell 1.5%. Analysts were expecting the Italian-inspired chain to report flat same-store sales growth, according to StreetAccount estimates. Last quarter, Olive Garden’s same-store sales fell 1.8%, driven by a pullback from low-income consumers.
DRI shares gained $1.05 to $153.00.
