Darden Tops $13 Billion in Sales as LongHorn Stays Hot and Olive Garden Evolves
Darden reports record sales, driven by Olive Garden and LongHorn Steakhouse growth.
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Darden Restaurants has achieved historical sales of over $13 billion, with LongHorn Steakhouse seeing significant growth, reporting 9.5% same-restaurant sales growth in Q4. CEO Rick Cardenas highlighted high guest satisfaction and operational excellence as key contributors to this success.
Why It Matters
This growth signals strong unit economics and brand resilience that may attract multi-unit operators looking to capitalize on effective brand performance in a competitive dining landscape.
Darden Restaurants has reported impressive financial results for fiscal 2026, closing the year with total sales surpassing $13.2 billion, a milestone for the company. In the fourth quarter alone, Darden achieved revenue of $3.72 billion, reflecting a 13.7 percent increase compared to the previous year. Adjusted diluted earnings per share saw a significant rise of 22.8 percent to $3.66. The fourth-quarter same-restaurant sales growth was recorded at 4.6 percent, driven by positive customer traffic and operational excellence across the brand, as noted by CEO Rick Cardenas during the earnings call. He emphasized the reliance on brands that guests trust, stating, "Our restaurant teams continued to execute at a high level and their commitment to operational excellence helped each of our brands deliver positive same-restaurant sales for the quarter."
The standout performer in Darden’s portfolio has been LongHorn Steakhouse, which realized a remarkable 9.5 percent growth in same-restaurant sales during the fourth quarter, significantly outpacing the broader casual dining industry benchmark by over 800 basis points. LongHorn generated $1.02 billion in sales during this period, marking a 22 percent increase year-over-year, while segment profit increased to $215 million. For the entire fiscal year, LongHorn achieved annual sales of $3.42 billion and a segment profit of $635 million, with average unit volumes climbing to approximately $5.6 million. Cardenas credited sustained investments in food quality over the last decade as key to LongHorn's success.
Additionally, Olive Garden has been focusing on evolving its delivery strategy, leveraging guest satisfaction scores that remain high. Cardenas highlighted that Mother's Day marked a record traffic day for both Olive Garden and LongHorn, showcasing a strong operational performance across Darden's brands amid rising inflation pressures. Looking ahead, the company’s growth trajectory may hinge on continuing to attract customers seeking value during economic uncertainty.
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