Darden Restaurants Reports First Quarter Earnings Results for FY2024

🌥️Earnings Overview

On September 21 2023, DARDEN RESTAURANTS ($NYSE:DRI) announced their financial results for the first quarter of FY2024, which ended on August 31 2023. Total revenue saw an increase of 11.6%, to a total of USD 2730.6 million, while net income rose by 0.8% year over year to USD 194.5 million.

Share Price

This performance was below the expectations of analysts who had predicted the stock would remain stable or rise slightly in the quarter. Despite these results, Darden is looking ahead to a successful future with plans to invest in digital initiatives and introduce new menu items. The company remains optimistic and looks forward to increasing its same-store sales and overall profitability in the coming quarters. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Darden Restaurants. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Darden Restaurants. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Darden Restaurants. More…

Key Ratios Snapshot

Some of the financial key ratios for Darden Restaurants are shown below. More…

Analysis

GoodWhale’s analysis of DARDEN RESTAURANS reveals that the company is classified as a ‘gorilla’, a type of company that has achieved stable and high revenue or earning growth due to its strong competitive advantage. This indicates that it is an attractive investment option for investors looking for steady returns. When it comes to financial performance, DARDEN RESTAURANTS has a high dividend score, medium growth and profitability score, and low asset score. However, the company has a high health score of 7/10 with regard to its cashflows and debt, indicating that it is capable of sustaining future operations in times of crisis. Overall, DARDEN RESTAURANTS is a strong investment option for those looking for steady returns, with the added assurance that the company is well-equipped to handle any future crises. More…

Peers

Darden Restaurants Inc. is an American multi-brand restaurant operator. Headquartered in Orlando, Florida, Darden owns several casual dining restaurant chains including Olive Garden, LongHorn Steakhouse, Cheddar’s Scratch Kitchen, Yard House, The Capital Grille, and Bahama Breeze. Darden has more than 1,700 restaurants across the United States and Canada. Max’s Group Inc., Del Taco Restaurants Inc., Skylark Holdings Co Ltd are all competitors of Darden Restaurants Inc.

– Max’s Group Inc ($PSE:MAXS)

Max’s Group Inc is a holding company that operates in the Philippines through its subsidiaries. The company’s businesses include restaurants, food manufacturing, and property development. As of 2022, Max’s Group Inc has a market cap of 3.4B and a ROE of 10.63%. The company’s restaurant business is the largest contributor to its revenue, followed by food manufacturing and property development.

– Del Taco Restaurants Inc ($TSE:3197)

Skylark Holdings Co Ltd is a Japanese conglomerate with a market cap of 360.59B as of 2022. The company has a Return on Equity of 7.47%. Skylark Holdings is engaged in the restaurant business, the retail business, and the real estate business. The company operates through its subsidiaries, which include Skylark Dining Co., Ltd., Skylark Retail Co., Ltd., and Skylark Real Estate Co., Ltd.

Summary

Investors should take note of Darden Restaurants‘ first quarter financial results for the fiscal year 2024, ending August 31 2023. The company saw strong revenue growth of 11.6%, amounting to USD 2730.6 million, and reported net income of USD 194.5 million, a slight increase of 0.8% year over year. As a result, it is clear that the company’s business strategy is paying off and that the Darden brand remains strong. Investors considering Darden Restaurants should be optimistic about the future of the company as its financial prospects seem to be improving.