Summary
Darden Restaurants, Inc. (DRI) reported on its fiscal year ending May 29, 2016, detailing a portfolio of 1,536 owned and operated restaurants across various brands, including Olive Garden and LongHorn Steakhouse, and 50 franchised locations. The company served over 334 million meals in fiscal 2016, underscoring its significant market presence in the full-service dining segment. The company's strategy centers on improving core operational fundamentals by enhancing the guest experience through culinary innovation, attentive service, and engaging atmospheres, while leveraging its scale for brand management and marketing. Darden also focuses on disciplined restaurant growth, with net additions to its company-owned base and a strategic approach to site selection and performance review to minimize underperforming locations. A key event during the period was the spin-off of Four Corners Property Trust, Inc., which involved the transfer of certain restaurant properties.
Financial Highlights
54 data points| Revenue | $6.93B |
| Gross Profit | $1.30B |
| Operating Expenses | $6.31B |
| Operating Income | $622.20M |
| Interest Expense | $165.40M |
| Net Income | $375.00M |
| EPS (Basic) | $2.94 |
| EPS (Diluted) | $2.90 |
| Shares Outstanding (Basic) | 127.40M |
| Shares Outstanding (Diluted) | 129.30M |
Key Highlights
- 1Darden Restaurants operates a diversified portfolio of 1,536 company-owned and operated restaurants across multiple brands (Olive Garden, LongHorn Steakhouse, The Capital Grille, Yard House, Seasons 52, Bahama Breeze, Eddie V's) and 50 franchised locations as of May 29, 2016.
- 2The company served over 334 million meals in fiscal 2016, indicating substantial customer reach.
- 3Darden's strategy focuses on operational excellence, delivering an outstanding guest experience, culinary innovation, and attentive service.
- 4Growth is managed through net additions to company-owned restaurants, with 2 net new restaurants added in fiscal 2016, and a planned expansion for fiscal 2017.
- 5A significant corporate action was the completion of the spin-off of Four Corners Property Trust, Inc., involving the distribution of common stock and transfer of restaurant properties.
- 6The company emphasizes data-driven marketing and technology integration, including a new online and mobile ordering system for Olive Garden and the rollout of table-top tablets to enhance the guest experience.
- 7Darden highlights its commitment to diversity and inclusion, with significant representation of minorities and females in its workforce and leadership positions.