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Darden Restaurants Reports Strong Fiscal 2026 Third Quarter Results

On March 19, 2026, Darden Restaurants, Inc. (NYSE: DRI) released its financial report for the third quarter ending on February 22, 2026. The results showcased a noteworthy performance, revealing significant financial growth compared to the same quarter last year.

Financial Highlights

Darden's total sales surged by 5.9% to reach $3.3 billion. This impressive growth was driven by a 4.2% increase in same-restaurant sales and contributions from 31 new restaurant openings across their portfolio. Here are some key highlights from the report:

• - Total Sales: $3,345.3 million, up from $3,158.0 million in Q3 2025.
• - Same-Restaurant Sales Growth:

- Olive Garden: 3.2%
- LongHorn Steakhouse: 7.2%
- Fine Dining: 2.1%
- Other Brands: 3.9%

• - Diluted Net Earnings Per Share: Reported at $2.68, while adjusted results (excluding specific costs) show an increase of 5.4% to $2.95 per share.

In his remarks, Darden President and CEO, Rick Cardenas, expressed pride in the company’s performance, emphasizing that they have continued to outperform industry benchmarks. He attributed these results to high retention rates among team members and managers, which in turn has fostered strong guest satisfaction.

Shareholder Returns

Darden’s Board of Directors also declared a quarterly cash dividend of $1.50 per share, payable on May 1, 2026, to shareholders recorded by April 10, 2026. Additionally, the company repurchased approximately 0.7 million shares of its common stock at a total cost of $127 million during the quarter, maintaining strong financial discipline.

Segment Performance

In terms of segment performance, profits for each brand in Darden’s portfolio showed encouraging upward trends:

• - Olive Garden:

- Sales: $1,393.0 million
- Segment profit: $320.0 million

• - LongHorn Steakhouse:

- Sales: $854.2 million
- Segment profit: $159.0 million

• - Fine Dining:

- Sales: $402.0 million
- Segment profit: $88.5 million

• - Other Business Segments:

- Sales: $696.1 million
- Segment profit: $108.8 million

This consistency in segment performance indicates the strength of Darden’s operational strategies.

Financial Outlook for Fiscal 2026

The company provided updated expectations for fiscal 2026, factoring in the impact of a 53rd operational week. Among specific forecasts are:

• - Total sales growth projected at approximately 9.5%, with 2% attributed to the additional week.
• - Same-restaurant sales growth anticipated at about 4.5%.
• - Approximately 70 new restaurant openings planned.
• - Total capital expenditure set between $750 million to $775 million.
• - Anticipated total inflation of about 3.5%.
• - Adjusted diluted net earnings per share projected between $10.57 and $10.67.

Darden remains committed to strategic growth while effectively managing costs and delivering value to both customers and shareholders.

Closing Remarks

As a leading player in the restaurant industry, Darden's robust financials for Q3 2026 set a solid foundation for the coming year. With a proven track record and a strong commitment to quality and service, the company reinforces its position as a formidable operator in the dining sector.

For stakeholders and patrons alike, the upcoming conference call will delve deeper into these results and further discuss Darden's strategic outlook. Stay tuned for what promises to be an exciting year ahead for Darden Restaurants.