Darden Restaurants Beats Analyst Expectations for Q2 2015
ORLANDO, FL - Darden Restaurants released its Q2 2015 results on Tuesday, December 16th 2015, reporting a 4.9% increase in sales over the same quarter from last year. This quarter's report was a signficant one, marking the first financial quarter in which the new Starboard sponsored Board of Directors had influence over the company's operations.
"Our brands performed well during the second quarter," said Interim CEO Gene Lee. "We have been working diligently to execute our strategy, including getting back to basics while delivering the best possible guest experience. It is starting to show in both improved revenue and profitability. While it's still early, we believe our renewed focus on operating fundamentals, coupled with our more streamlined support structure, will help us continue to grow and capture market share."
Some highlights from Darden's financial report include:
- A 4.9% increase in total sales to $1.56 billion, compared to $1.49 billion from the same period last year.
- A 133% increase in earnings per diluted share from continuing operations to $0.28, compared to the adjusted earnings of $0.12 from the same period last year.
- Comparable same-restaurant sales results of:
- +0.5% for Olive Garden (beating industry estimates of -0.5%, according to CNBC)
- +2.6% for LongHorn Steakhouse
- +5.0% for The Capital Grille
- +4.9% for Eddie V's
- +3.7% for Yard House
- +1.2% for Seasons 52
- -0.6% for Bahama Breeze
Going forward, Darden has tightened its projected range for adjusted diluted net earnings per share from continuing operations for fiscal 2015 to $2.25 - $2.30. Including the impact of the 53rd week, this would represent a 32%-35% increase, according to a press release. When last reported in September, the low end of Darden's guidance was $2.22.
Congratulations on these key improvements, Darden!
