- Darden Restaurants' earnings per share (EPS) of $2.05 met analyst expectations but represented a year-over-year decline due to higher expenses.
- Despite a slight revenue miss with total revenue of $3.20 billion, the company maintains a positive outlook for the fiscal year.
- Growth in same-restaurant sales and a reaffirmed financial outlook support confidence, even with a price-to-earnings (P/E) ratio of 20.76 and a debt-to-equity ratio of 3.20.
Darden Restaurants, Inc. (NYSE:DRI) is a major player in the full-service dining industry. The company operates a portfolio of well-known restaurant brands, including Olive Garden and Longhorn Steakhouse. It competes with other large casual dining chains for customer traffic and spending. Darden Restaurants recently reported its financial results for the first quarter of its 2027 fiscal year.
On September 24, 2026, Darden Restaurants announced an earnings per share (EPS) of $2.05, which met the expectations of market analysts, as highlighted by Benzinga Pro. However, this figure represents a decline. As reported by WSJ, Darden Restaurants' earnings fell from $2.19 per share in the same quarter a year earlier, mainly because of higher expenses.
For the quarter, Darden Restaurants posted total revenue of $3.20 billion. This result was just slightly below the consensus analyst estimate of $3.21 billion. Despite the small revenue miss and lower profit, the company's President and CEO, Rick Cardenas, described the quarter as a "solid start" to the fiscal year, as stated in a PR Newswire release.
This positive outlook is supported by growth in key areas. All of the company's restaurant segments achieved positive same-restaurant sales, meaning established locations generated more revenue than they did in the previous year. Darden Restaurants also declared a quarterly dividend for its investors and reaffirmed its financial outlook for the full fiscal year.
Looking at its financial health, Darden Restaurants has a price-to-earnings (P/E) ratio of 20.76. This metric shows that investors are paying nearly 21 times the company's annual earnings for each share. Furthermore, its debt-to-equity ratio of 3.20 indicates that the company uses more borrowed money than its own funds to finance its assets.
