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Nov 29, 2020
Darden Q2 2021 Earnings Report
Darden's financial performance decreased due to the pandemic, but profitability remained strong.
Key Takeaways
Darden Restaurants reported a decrease in total sales by 19.4% to $1.66 billion, driven by negative blended same-restaurant sales of 20.6%. Despite the sales decline, the company maintained strong profitability.
Total sales decreased by 19.4% due to negative same-restaurant sales.
Same-restaurant sales declined by 20.6%.
Reported diluted net earnings per share were $0.74, compared to $0.21 last year.
The Board of Directors declared a quarterly cash dividend of $0.37 per share.
Darden
Darden
Darden Revenue by Segment
Forward Guidance
The company provided a broad range of expectations for the third quarter performance.
Positive Outlook
- Total sales between 65% to 70% of prior year
- EBITDA of $170 to $210 million
- Diluted net earnings per share from continuing operations of $0.50 to $0.75
- Approximately 132 million weighted average diluted shares outstanding
- Reiterating full year outlook for 35-40 net new restaurants and total capital spending of $250 to $300 million
Challenges Ahead
- Based on recent performance trends
- Uncertainty surrounding further capacity limits
- Dining room closures
- Duration of these impacts
- Providing a broad range of expectations
Revenue & Expenses
Visualization of income flow from segment revenue to net income