Darden’s comps rise 1.6%

Same-store sales at Darden Restaurants rose 1.6 percent during the second quarter of 2016, bolstered by comps growth among its seven restaurant concepts, including Olive Garden and LongHorn Steakhouse.

Comps at Olive Garden rose 1 percent during Q2, despite a slight dip in traffic year over year. Same-store sales at LongHorn Steakhouse grew 2.6 percent during the period.

Net income at Darden grew to $43.2 million, up from a $32.8 million loss during the year-ago quarter. Total sales at the company increased 3.2 percent, to $1.61 billion.

"We saw continued momentum this quarter, with all our brands once again posting positive same-restaurant sales growth and delivering meaningful margin improvement," CEO Gene Lee said in a statement. "These results reflect our continuous focus on operating great restaurants and leveraging our competitive advantages to drive sales and profitability."

The company raised its guidance for the full fiscal year, estimating comp sales in the 2.5 percent to 3 percent range. 

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.


Exclusive Content


2 more reminders that the restaurant business is risky

The Bottom Line: Franchising is no less risky than opening your own restaurant. Just ask former NFL player David Tyree and the former president of McDonald's Mexico.


There's plenty happening at the high end of the pricing barbell, too

Reality Check: Decadent meal choices are also proliferating, for a lot more than $5.


Reassessing McDonald's tech deals from 2019

The Bottom Line: The fast-food giant’s decision to end its drive-thru AI test with IBM is the latest pullback away from a pair of technology acquisitions it made five years ago.


More from our partners