Darden Restaurants (NYSE:DRI) saw its stock gain 6% intra-day today after reporting third-quarter earnings, with steady sales growth and strong holiday performance, despite slightly missing analyst expectations.
For the quarter, adjusted earnings per share came in at $2.80, just below the $2.81 consensus estimate. Revenue reached $3.2 billion, falling short of the projected $3.22 billion, though total sales increased 6.2% year-over-year, driven by a 0.7% rise in same-restaurant sales and the acquisition of 103 Chuy’s locations.
Among its core brands, Olive Garden posted 0.6% same-restaurant sales growth, while LongHorn Steakhouse led with a 2.6% increase, reflecting continued consumer demand across its portfolio.
Looking ahead, Darden slightly adjusted its full-year fiscal 2025 outlook, now forecasting adjusted EPS between $9.45 and $9.52, in line with the $9.48 analyst consensus. Total sales are expected to reach approximately $12.1 billion for the year.
Darden pointed to record-breaking sales during key holiday periods, including Valentine’s Day, reinforcing its ability to navigate a competitive restaurant landscape while maintaining steady long-term growth.