Darden's Q4: Strong Sales, Inflation Strategy
Update: 2025-12-19
Description
Darden Restaurants, the parent company of Olive Garden and LongHorn Steakhouse, reported a positive revenue surprise in their fourth quarter results for 2025, with revenue of $3.1 billion, exceeding expectations. However, adjusted profit per share fell slightly short of predictions at $2.08. The company attributed this to strong sales at existing restaurants, particularly their popular Never Ending Pasta Bowl promotion and delivery service, as well as record high customer satisfaction. Despite challenges with rising ingredient costs, Darden maintained steady operating margins and expanded with seventeen new locations. Looking ahead, the company plans to focus on new menu options, delivery services, and price adjustments to support long-term success, even if it means short-term pressure on profit margins.
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