Darden Restaurants posts fiscal 2026 results, raises dividend, OKs buyback

Darden Restaurants, Inc. (NYSE: DRI) reported fiscal fourth-quarter and full-year results for the period ended May 31, 2026, which included a 53rd week of operations compared with 52 weeks in the prior year.

Fourth-quarter total sales rose 13.7% to $3.72 billion, driven by the extra week, a blended same-restaurant sales increase of 4.6%, and 43 net new restaurant openings. By brand, same-restaurant sales grew 2.4% at Olive Garden, 9.5% at LongHorn Steakhouse, 1.9% in Fine Dining, and 4.6% in Other Business. Reported diluted net earnings per share from continuing operations were $3.54. Excluding $0.12 of costs primarily related to restaurant closures and the Chuy's integration, adjusted diluted EPS was $3.66, up 22.8% from a year earlier. The extra week contributed $0.25 to both figures.

For the full fiscal year, total sales increased 9.4% to $13.21 billion. Blended same-restaurant sales rose 4.5%. Reported diluted EPS from continuing operations was $10.44, while adjusted diluted EPS was $10.64, an increase of 11.4%.

The board declared a quarterly cash dividend of $1.62 per share, an 8.0% increase from the prior quarter, payable August 3, 2026, to shareholders of record as of July 10, 2026. The board also authorized a new share repurchase program of up to $1.5 billion, with no expiration date, replacing the prior authorization. During the quarter, the company repurchased approximately 0.7 million shares for $138 million.

For fiscal 2027, the company provided guidance for total sales of $13.60 billion to $13.75 billion, same-restaurant sales growth of 2.5% to 3.5%, 75 to 80 new restaurant openings, and diluted EPS from continuing operations of $11.10 to $11.35. EBITDA is projected at $2.26 billion to $2.29 billion. Total capital spending is expected to be approximately $875 million, with total inflation of approximately 3.0%.

As of May 31, 2026, Darden operated 2,202 company-owned restaurants across brands including Olive Garden, LongHorn Steakhouse, and Chuy's, among others. The information in this article is based on a company press release.

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