An Olive Garden restaurant in Times Square in New York
Richard Levine | Corbis | Getty Images
Darden Restaurants on Friday reported quarterly earnings and income that beat Wall Street’s expectations, as shoppers continued to eat out regardless of stress from inflation.
The firm additionally raised its earnings outlook for fiscal 2023 to a variety of $10.3 billion to $10.45 billion from its earlier vary of $10.2 billion to $10.4 billion.
Here’s what the corporate reported for the fiscal second quarter ended Nov. 27, in contrast with what Wall Street was anticipating, based mostly on a survey of analysts by Refinitiv:
Earnings per share: $1.52 adjusted vs. $1.44 anticipated.Revenue: $2.49 billion vs. $2.43 billion anticipated.
Darden’s complete gross sales rose 9.4% in contrast with the identical quarter final 12 months.
Darden additionally mentioned its complete bills jumped to $2.25 billion from $2.03 billion a 12 months earlier, pushed primarily by increased prices for dairy, grains and produce. The firm additionally cited development and labor prices as causes for the leap in bills.
CEO Rick Cardenas mentioned within the firm’s earnings launch he is happy with the corporate’s outcomes in the course of the quarter and mentioned all of their manufacturers “carried out at a excessive stage,” saying that the corporate “surpassed $10 billion in gross sales on a trailing 52-week foundation for the primary time in Darden’s historical past.”
Olive Garden, which accounts for almost half of Darden’s income, noticed same-store gross sales improve 7.6%, whereas total same-store gross sales rose 7.3% for the corporate. The firm noticed an identical improve of seven.3% for LongHorn Steakhouse, its second greatest model.
Executives on the convention name mentioned gross sales reached an all-time excessive on Thanksgiving throughout its eating places they usually count on gross sales to proceed to do nicely in the course of the vacation season.
Darden mentioned it had 1,887 places open as of the top of the quarter, in contrast with 1,852 final 12 months.
Read the complete earnings report right here.