Darden Restaurants Reports 9.4% Sales Increase to $13.21 Billion for Fiscal Year 2026

Darden Restaurants, Inc. reported a significant increase in financial performance for the fiscal year ending May 31, 2026, with total sales reaching $13.21 billion, a 9.4% increase from $12.08 billion in the previous fiscal year. The company's net earnings from continuing operations rose to $1.21 billion, or $10.44 per diluted share, marking a 15.5% increase in net earnings and a 17.6% increase in earnings per share compared to the prior year. The growth was attributed to a blended same-restaurant sales increase of 4.5%, an extra week of operations, and the addition of 43 net new restaurants.

In terms of operational changes, Darden completed the acquisition of Chuy’s Holdings Inc. in October 2024 for $649.1 million, which has since been fully integrated into Darden's operations. Additionally, the company announced the permanent closure of approximately half of its Bahama Breeze restaurants, with plans to convert the remaining locations to other Darden brands over the next 12 to 18 months. The sale of eight Olive Garden restaurants in Canada to Recipe Unlimited Corporation was also finalized, with Darden entering into franchise agreements for future operations under the Olive Garden name.

Darden's operational metrics showed a total of 2,202 restaurants owned and operated as of May 31, 2026, compared to 2,159 the previous year. The company reported a total employee headcount of 209,931, with 198,111 being hourly team members. The average check per person at Olive Garden was approximately $25.00, while LongHorn Steakhouse reported an average check of $28.50. The company also noted a 2.1% increase in customer counts across its brands, contributing to the overall sales growth.

Looking ahead, Darden anticipates fiscal 2027 sales from continuing operations to be between $13.60 billion and $13.75 billion, driven by same-restaurant sales growth of 2.5% to 3.5% and the opening of 75 to 80 new restaurants. The company expects its annual effective tax rate to be approximately 13.5% and capital expenditures for new restaurant construction and technology initiatives to be around $875 million. Darden's management remains focused on leveraging its scale and operational excellence to enhance guest experiences and drive future growth.