Darden Restaurants Q4 23 – 22/06 – if ever there was an example of how resilient the US consumer is it's in the performance of Darden Restaurants after the share price plunged to its lowest levels since 2009 in the wake of the covid lockdowns.
The recovery off the $26 lows has been extraordinary with the shares hitting another record high of $164 earlier this month. In its Q3 numbers the owner of the Olive Garden and Longhorn Steak House brands posted an increase in net sales of 13.8% to $2.79bn, while raising its revenue outlook for the full year to between $10.45bn and $10.5bn.
On costs the company projected a range of 7% to 7.5% while forecasting profits of between $7.85 and $8 a share.
All of the company's brands set record sales numbers during Q3, with little sign of slowing demand. For 2024 the restaurant chain said it intends to open another 50 to 55 new outlets in addition to the 35 new restaurants it opened during Q3.
