Darden Restaurants, Inc. has released its financial results for the fourth quarter and the entire fiscal year 2025, showing strong performance that surpassed market expectations.
Fourth Quarter 2025 Results
In the fourth quarter of fiscal 2025, Darden Restaurants, Inc. reported a 10.6% increase in total sales, reaching $3.3 billion. This growth was driven by a 4.6% rise in same-restaurant sales and the acquisition of 103 Chuy’s Tex Mex restaurants along with 25 new restaurant openings. Notably, Olive Garden and LongHorn Steakhouse saw significant same-restaurant sales increases of 6.9% and 6.7%, respectively, while the Fine Dining segment experienced a decline of 3.3%.
New Stock Buyback Program
Darden also announced a new $1 billion share repurchase program. This program replaces the existing share repurchase authorization and underscores the company's confidence in its financial stability and ability to generate free cash flow. CFO Raj Vennam noted that the company’s strategy aims for a total shareholder return of 10-15% over time.
Optimistic Future Outlook
Darden's revenue of $3.3 billion exceeded projected $3.26 billion. President and CEO Rick Cardenas emphasized that this success is based on the company's adherence to its strategy focused on competitive advantages and operational excellence. The optimistic outlook for fiscal 2026 suggests continued expansion and increased shareholder returns.
Darden Restaurants demonstrates strong financial results exceeding expectations and is poised for further success in the upcoming fiscal year.
