Darden Restaurants, Inc. (DRI) Earnings Call Transcripts

Darden Restaurants, Inc.'s Latest Earnings Call - Q4 FY2026

Darden Restaurants, Inc. reported a strong fourth quarter for fiscal year 2026, with total sales reaching $3.7 billion, a 13.7% increase year-over-year. Adjusted diluted EPS rose 22.8% to $3.66, benefiting from an extra fiscal week. Management raised guidance for fiscal 2027, projecting total sales between $13.6 billion and $13.75 billion, driven by same-restaurant sales growth of 2.5% to 3.5% and 75 to 80 new restaurant openings, indicating continued growth momentum.

Reported metrics

Guidance from management

Darden expects total sales for fiscal 2027 to be between $13.6 billion and $13.75 billion, with same-restaurant sales growth of 2.5% to 3.5%. They also anticipate capital spending of approximately $875 million and total inflation of around 3%.

What management said

So just on the commodity basket guidance of 3%, can you expand a little bit more on that and touch on some of the specific drivers, specifically beef. And then I think you mentioned, Raj, 4% inflation in the 1Q. So any more on the cadence of commodity inflation expectations, that would be great.

Yes. I think -- so from a marketing perspective, we are -- we expect to make some investment even with some cost as most of the cost as we receive this year, next year, I think there's probably another $5 million to $6 million of cost saves. But we expect marketing expense to go up roughly 10 basis points. It will be -- from a dollars perspective, think of it as about a $25 million investment year-over-year, and that...

What analysts pressed on

Analysts expressed concerns regarding the impact of rising commodity costs on margins, particularly in light of beef inflation. Additionally, there were inquiries about the ability to maintain traffic growth amidst a cautious consumer environment, especially among younger demographics.

Main topics on the call

• Revenue Growth Acceleration — Darden achieved total sales of $3.7 billion in Q4, a 13.7% increase from the previous year, driven by same-restaurant sales growth of 4.6%. Management noted, "Our restaurant teams continue to execute at a high level and ...
• Same-Restaurant Sales Performance — The company reported same-restaurant sales growth of 4.5% for the full fiscal year, outperforming the industry benchmark by over 300 basis points in Q4. Olive Garden and LongHorn both delivered strong results, with Olive...
• Guidance for Fiscal 2027 — Management raised guidance for fiscal 2027, expecting total sales of $13.6 billion to $13.75 billion, with same-restaurant sales growth of 2.5% to 3.5%. Raj Vennam stated, "We expect total inflation of approximately 3%, ...
• Strong Shareholder Returns — Darden returned $1.4 billion to shareholders in fiscal 2026 through dividends and share repurchases. The board approved an 8% increase in the quarterly dividend to $1.62 per share, reflecting a commitment to returning ca...

Read the full Darden Restaurants, Inc. transcript (Q4 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 27 Darden Restaurants, Inc. earnings call transcripts on record, spanning March 19, 2020 to June 25, 2026. Based on this history, Darden Restaurants, Inc. reports quarterly. The most recent call on file is dated June 25, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

DRI

Exchange

NYSE

Country

US

Sector

Consumer Discretionary

Industry

Hotels, Restaurants and Leisure

Calls on record

27

First call

March 19, 2020

Most recent

June 25, 2026

Reporting cadence

quarterly