Darden Restaurants stock falls as Olive Garden reports slower growth. Advertisements The exterior of an Olive Garden is seen on June 20, 2025 in Austin, Texas. Brandon Bell | Getty Images Darden Restaurants on Thursday reported quarterly earnings and revenue that narrowly missed analysts' expectations as same-store sales growth at Olive Garden slows. Shares of the company fell 5% in premarket trading. Here's what the company reported for the quarter ended Aug. 30 compared with what Wall Street was expecting, based on a survey of analysts by LSEG: * Earnings per share: $2.05 vs. $2.06 expected * Revenue: $3.20 billion vs. $3.21 billion expected Darden reported fiscal first-quarter net income of $233.4 million, or $2.04 per share, down from $257.8 million, or $2.19 per share, a year earlier. Net sales rose 5.1% to $3.20 billion. The company's same-store sales increased 3.1% during the fiscal quarter as each of Darden's business units reported growth. LongHorn Steakhouse was once again the top performer of the portfolio this quarter, as same-store sales rose 6.2%. The chain has overtaken Olive Garden to become Darden's top performer, although it still accounts for a smaller share of the company's overall revenue. Olive Garden saw its same-store sales inch up 1.1%. While it is still the company's largest chain by both number of locations and sales, Olive Garden has seen its growth weaken as diners have become more choosy about their spending. Darden's fine-dining business reported same-store sales growth of 1.6%. The segment includes chains like The Capital Grille and Ruth's Chris. The company's remaining chains, which are grouped under its "other business" division, saw same-store sales grow 3.8% in the quarter. Darden also reiterated its forecast for fiscal 2027. The company is projecting total sales of $13.60 billion to $13.75 billion and net earnings per share from continuing operations in a range of $11.10 to $11.35. Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Darden Restaurants, Inc. (NYSE:DRI) Navigates Q1 2027 with Mixed Financial results and positive outlook. Sep 24, 2026 Market News FMPDarden Restaurants, Inc. (NYSE:DRI) Navigates Q1 2027 with Mixed Financial Resul... * Darden Restaurants' earnings per share (EPS) of $2.05 met analyst expectations but represented a year-over-year decline due to higher expenses. * Despite a slight revenue miss with total revenue of $3.20 billion, the company maintains a positive outlook for the fiscal year. * Growth in same-restaurant sales and a reaffirmed financial outlook support confidence, even with a price-to-earnings (P/E) ratio of 20.76 and a debt-to-equity ratio of 3.20. Darden Restaurants, Inc. (NYSE:DRI) is a major player in the full-service dining industry. The company operates a portfolio of well-known restaurant brands, including Olive Garden and Longhorn Steakhouse. It competes with other large casual dining chains for customer traffic and spending. Darden Restaurants recently reported its financial results for the first quarter of its 2027 fiscal year. On September 24, 2026, Darden Restaurants announced an earnings per share (EPS) of $2.05, which met the expectations of market analysts, as highlighted by Benzinga Pro. However, this figure represents a decline. As reported by WSJ, Darden Restaurants' earnings fell from $2.19 per share in the same quarter a year earlier, mainly because of higher expenses. For the quarter, Darden Restaurants posted total revenue of $3.20 billion. This result was just slightly below the consensus analyst estimate of $3.21 billion. Despite the small revenue miss and lower profit, the company's President and CEO, Rick Cardenas, described the quarter as a "solid start" to the fiscal year, as stated in a PR Newswire release. This positive outlook is supported by growth in key areas. All of the company's restaurant segments achieved positive same-restaurant sales, meaning established locations generated more revenue than they did in the previous year. Darden Restaurants also declared a quarterly dividend for its investors and reaffirmed its financial outlook for the full fiscal year. Looking at its financial health, Darden Restaurants has a price-to-earnings (P/E) ratio of 20.76. This metric shows that investors are paying nearly 21 times the company's annual earnings for each share. Furthermore, its debt-to-equity ratio of 3.20 indicates that the company uses more borrowed money than its own funds to finance its assets. Market news and analyst rating coverage Alex Lavoie covers market-moving news and analyst activity for the FMP blog, summarizing price-target changes, upgrades and downgrades, earnings results, and company developments. The focus is on turning timely market events into concise, data-backed updates that help readers stay current on the companies they follow. Financial data for every need. Real-time quotes and 30+ years of historical data, including prices, fundamentals, and insider transactions - all accessible via API. Stock Screener 2017-2026 (C) FMP

Jim Cramer said he prefers Brinker International over Darden Restaurants ahead of Darden's 24 September earnings report, despite praising Darden's Olive Garden business as "a gold mine". Darden generated $13.21 billion in fiscal 2026 sales, up 9.4%, and expects fiscal 2027 sales of $13.60 billion to $13.75 billion. However, Olive Garden's comparable sales slowed to 2.4% in the fourth quarter, whilst LongHorn Steakhouse grew 9.5%. Brinker showed faster growth, with Chili's comparable sales up 9.2% in fiscal 2026. The company expects fiscal 2027 revenue of $6.15 billion to $6.27 billion. Cramer highlighted Chili's 3 for Me platform, which starts at $10.99, as part of Brinker's "stronger game plan".