Darden Restaurants Inc
DRI
$177.72 0.83%
Exchange: NYSE | Sector: Consumer Cyclical | Industry: Restaurants
Q4 2024
Published: May 31, 2024

Earnings Highlights

  • Revenue of $2.96B up 8.3% year-over-year
  • EPS of $2.57 increased by 60.3% from previous year
  • Gross margin of 18.2%
  • Net income of 308.10M
  • ""on the food basket, we're basically assuming commodities to be around 2%. I think the biggest driver within the food basket is beef. We still expect beef to be in the mid-single-digits. And then we actually expect low-single-digit deflation in chicken."" - Raj Vennam
DRI
Company DRI

Executive Summary

- Darden reported a strong finish to fiscal 2024 with Q4 revenue of $2.958 billion and net income of $308.1 million, or $2.58 per share (GAAP). Adjusted diluted EPS from continuing operations rose 2.7% to $2.65 for the fourth quarter, and adjusted EBITDA was $523 million, underscoring the company’s cost discipline as inflation moderated.
- For the full year, Darden delivered total sales of about $11.4 billion and an adjusted EPS of $8.88, with a total shareholder return of 14.2% for fiscal 2024, placing TSR near the high end of its long-term target range (10-15%). Ruth’s Chris integration was completed within the year, contributing to synergies and a mid-single-digit per-share accretion during the period.
- Management highlighted disciplined execution across the portfolio, including strong labor productivity, advantageous commodity dynamics, and selective pricing, all while maintaining a “profitable sales growth” framework. Looking ahead, Darden provided FY2025 guidance: total sales of $11.8–$11.9 billion, 1–2% same-restaurant sales growth, 45–50 net new restaurants, capex of $550–$600 million, ~3% inflation, an effective tax rate around 13%, ~119 million diluted shares, and EPS of $9.40–$9.60. The board also approved a 7% dividend increase to $1.40 per quarter.
- The driver thesis remains that Darden’s portfolio (notably Olive Garden and LongHorn) can sustain growth through mix management, menu/value innovations, and disciplined capital allocation, supported by a strengthened leadership slate to scale the Specialty Restaurant Group and Ruth’s Chris franchise opportunities.

Key Performance Indicators

Revenue
Increasing
2.96B
QoQ: 0.00% | YoY: 8.30%
Gross Profit
Decreasing
537.00M
18.16% margin
QoQ: 0.24% | YoY: -3.48%
Operating Income
Increasing
396.80M
QoQ: 3.20% | YoY: 61.92%
Net Income
Increasing
308.10M
QoQ: 0.00% | YoY: 58.41%
EPS
Increasing
2.58
QoQ: 0.00% | YoY: 60.25%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 3,044.70 2.19 +3.0% View
Q3 2025 3,158.00 2.74 +6.8% View
Q2 2025 2,890.00 1.82 -2.9% View
Q1 2025 2,757.00 1.74 +1.1% View
Q4 2024 2,957.30 2.57 +8.3% View