Categories AlphaGraphs, Earnings, Retail

Same-store traffic slows Darden Restaurants’ growth in second quarter

Darden Restaurants Inc. (DRI) posted its results for the second quarter on Tuesday, Dec. 18, before the opening bell. The LongHorn Steakhouse owner reported a 4.9% rise in consolidated sales of $1.97 billion. Net profit beat estimates at $115.9 million or $0.92 per share, up 29.6% on a reported basis and up 26% on an adjusted basis.

Analysts, on average, expected the company to post earnings of $0.91 per share on revenue of $1.98 billion for the three-month period.

Last week, Darden’s board of directors declared a regular quarterly cash dividend of $0.75 per share on its outstanding common stock, payable on Feb. 1, 2019 to shareholders of record at the close of business on Jan. 10, 2019.

US same-store restaurant sales grew just 3.5% for Olive Garden and 2.9% for LongHorn Steakhouse, as corresponding traffic fell — something that translated to the lower-than-expected top line.

Darden Restaurants second quarter 2019 earnings infographic

 

During the quarter, Darden repurchased about 0.6 million shares for a total of $61 million. At quarter-end, the company had about $419 million remaining under the current $500-million repurchase authorization.

The Olive Garden-operator also updated its fiscal 2019 forecast for same-restaurant sales growth to about 2.5% and its outlook for diluted net earnings from continuing operations to $5.60-$5.70 per share.

 

We’re on Apple News! Follow us to receive the latest stock market, earnings, and financial news at your fingertips

 

Most Popular

Infographic: How UnitedHealth Group (UNH) performed in Q2 2024

UnitedHealth Group (NYSE: UNH) reported second quarter 2024 earnings results today. Revenues increased to $98.9 billion from $92.9 billion a year ago. Net earnings attributable to UnitedHealth Group common shareholders

SCHW Earnings: Highlights of Charles Schwab Corporation’s Q2 2024 results

Financial services company The Charles Schwab Corporation (NYSE: SCHW) on Tuesday reported a decrease in adjusted earnings and a modest increase in revenues for the second quarter of 2024. Total

BAC Earnings: Key quarterly highlights from Bank of America’s Q2 2024 financial results

Bank of America (NYSE: BAC) reported its second quarter 2024 earnings results today. Revenue, net of interest expense, of $25.4 billion increased 1% from the prior-year period, reflecting higher asset

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top