Darden Restaurants (NYSE: DRI) reported better-than-expected second-quarter earnings Friday as consumers continued to eat out despite rising inflation. Furthermore, the company raised its earnings forecast for fiscal 2023 to a range between USD10.3 Billion and USD10.45 Billion from its previous estimate of anywhere from USD10.2 Billion to USD10.4 Billion. Darden shares dipped over 3% amid broader market losses.
The American multi-brand restaurant operator reported USD1.52 per share, compared to the expected USD1.44 a share. Revenue amounted to USD2.49 Billion, higher than analysts anticipated USD2.43 a share. Darden’s total sales were up 9.4% compared with the same quarter last year.
“I am pleased with our results this quarter,” said Darden President & CEO Rick Cardenas. “All of our brands performed at a high level by remaining focused on our Back-to-Basics Operating Philosophy anchored in food, service, and atmosphere. I am proud of the focus and commitment our teams continue to display. Their disciplined approach in executing our strategy is what enables us to succeed, evidenced by the fact that, just last week, we surpassed $10 billion in sales on a trailing 52-week basis for the first time in Darden’s history.”
According to the company it had 1,887 operating locations at the end of the quarter, compared to the 1,852 it had last year. Darden has a current market cap of USD16.97 Billion.