Darden Q2 2022 Earnings Report
Key Takeaways
Darden Restaurants reported a 37% increase in total sales to $2.27 billion, driven by a 34.4% increase in blended same-restaurant sales and the addition of 34 net new restaurants. Diluted net earnings per share from continuing operations were $1.48, and net earnings from continuing operations were $193 million.
Total sales increased 37% year-over-year to $2.27 billion.
Blended same-restaurant sales increased 34.4%.
Diluted net earnings per share from continuing operations was $1.48.
The company repurchased $266 million of its outstanding common stock.
Darden
Darden
Darden Revenue by Segment
Forward Guidance
The Company updated its financial outlook for fiscal 2022 based on year-to-date results and its expected performance for the remainder of the year, assuming no significant business interruptions related to COVID-19.
Positive Outlook
- Total sales of approximately $9.55 to $9.70 billion
- Total sales growth vs. Pre-COVID of 9% to 11%
- Same-restaurant sales vs. fiscal 2021 of 29% to 31%
- 35 to 40 new restaurant openings
- EBITDA between $1.55 to $1.60 billion
Challenges Ahead
- Total capital spending of approximately $425 million
- Total inflation of approximately 5.5%
- Effective tax rate of approximately 14%
- Approximately 130 million weighted average diluted shares outstanding
- Assuming no significant business interruptions related to COVID-19
Revenue & Expenses
Visualization of income flow from segment revenue to net income