Darden Restaurants, Inc. DRI is set to report its second-quarter results on Thursday before the opening bell. Here's a look at what to expect from the largest full-service restaurant operator in the country.
What To Know: Darden Restaurants faced challenges, including rising food prices and labor shortages. Inflation also pushed the company’s costs higher, keeping many consumers eating at home.
The company also reported disappointing first-quarter earnings in September. But for the second quarter, there are signs of a recovery.
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According to data from Placer.ai, guest visits to Darden's restaurants like Olive Garden and LongHorn Steakhouse grew by 0.9% in the period from July through September 2024 compared to the same period in 2023.
Darden's visitor growth of 0.9% outperformed the broader full-service restaurant segment which saw a decline of 1.9% in the same period.
What Else: Darden Restaurants is counting on its exclusive, multi-year delivery partnership with Uber Technologies, Inc. UBER to help boost sales, alongside various value promotions and revamped menus to attract cash-strapped consumers.
For example, Olive Garden is running its popular "Never-Ending Pasta Bowl" promotion one month early and for three weeks longer in 2024 compared to previous years.
Darden Restaurants will report its second-quarter results before Thursday's opening bell and will host a conference call to discuss the results at 8:30 a.m. ET the same day. According to estimates from Benzinga Pro, analysts expect the company to report earnings of $2.02 per share and quarterly revenue of $2.9 billion.
Price Action: According to Benzinga Pro, Darden Restaurant shares are down 1.51% at $165.04 at the time of publication Tuesday.
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