Darden Restaurants, Inc. · NYSE:DRI
Darden Restaurants — Q3 2026 Earnings Presentation
15 slides from Darden Restaurants's earnings presentation, Mar 19, 2026
Slide 1: Supplemental Materials: Fiscal 2026 Third Quarter Results
Supplemental Materials Fiscal 2026: Third Quarter Results March 19, 2026
Slide 2: Disclaimer/Non-GAAP Information
Disclaimer/Non-GAAP Information IMPORTANT NOTICE The following slides are part of a presentation by Darden Restaurants, Inc. (the "Company") and are intended to be viewed as part of that presentation (the "Presentation"). No representation is made that the Presentation is a complete description of t
Slide 3: Brilliant with the Basics
Be financially successful through great people consistently delivering outstanding food, drinks and service in an inviting atmosphere making every guest loyal. Brilliant with the Basics Culinary Innovation Attentive Engaging Enabled by Our & Execution Service Atmosphere People Extensive Data Rigorou
Slide 4: Annual Target (Over Time)
Annual Target (Over Time) New Restaurant Growth 3% - 4% Same-Restaurant Sales 1.5% - 3.5% EAT Margin Expansion 0 - 20 bps Business Performance (EAT Growth) 6% - 10% Dividend Payout Ratio 50% - 60% Share Repurchase 1% - 2.5% Return of Cash 4% - 5% Total Shareholder Return 10% - 15% (EPS Growth + Divi
Slide 5: Financial Results
J DARDEN RESTAURANTS Financial Results
Slide 6: Fiscal 2026 Third Quarter Financial Highlights
Fiscal 2026 Third Quarter Financial Highlights $3.3 Billion 5.9% 4.2% SAME-RESTAURANT SALES TOTAL SALES TOTAL SALES GROWTH GROWTH1 $579 Million $2.95 $300 Million ADJUSTED DILUTED NET EPS ADJUSTED EBITDA2 FROM CONTINUING CASH RETURN3 OPERATIONS2 1 Will not include Chuy's until they have been owned a
Slide 7: Margin Analysis vs. Prior Year
Margin Analysis vs. Prior Year As Reported As Adjusted1 Q3 2026 Q3 2026 Q3 2026 vs Q3 2025 (bps) ($ millions) ($ millions) % of Sales Favorable/(Unfavorable) Sales $3,345.3 $3,345.3 Food and Beverage $1,026.7 $1,026.7 30.7 % (50) Restaurant Labor $1,046.9 $1,046.9 31.3 % 20 Restaurant Expenses $528.
Slide 8: Third Quarter Segment Performance
Third Quarter Segment Performance Segment Sales ($ millions) Fine Dining Other Business .7% $1,393 $1,330 4 11.2 % $854 $768 4.3% 3.2% $402 $674 $696 $385 FY25 Q3 FY26 Q3 FY25 Q3 FY26 Q3 FY25 Q3 FY26 Q3 FY25 Q3 FY26 Q3 Segment Profit Margin1 Fine Dining Other Business 23.1% 23.0% 19.7% 18.6% 22.5% 2
Slide 9: Updating Fiscal 2026 Annual Outlook
Updating Fiscal 2026 Annual Outlook SALES DEVELOPMENT MARGIN Total Sales Growth1 Restaurant Openings Total Inflation: approx. 3.5% approximately 9.5% approximately 70 Commodities: approx. 4.0% Same-Restaurant Sales Capital Spending Effective Tax Rate Growth2 $750 to $775 million approximately 12.5%
Slide 10: Implied Fourth Quarter Outlook
Implied Fourth Quarter Outlook Total Sales Same Restaurant Growth1 Sales Growth2 13.0% to 14.5% 3.5% to 5.0% 14th Week Adjusted Adjusted Diluted Diluted Net EPS3 Net EPS3 $3.59 to $3.69 Approximately $0.25 1 Fiscal 2026 fourth quarter is a 14-week quarter and the outlook includes sales for the extra
Slide 11: Commodities Outlook - Fourth Quarter
Commodities Outlook - Fourth Quarter March - May FY2026 Spend by category Coverage Outlook Beef 25% 85% High single digit inflation Dairy / Oil1 13% 60% High single digit deflation Produce 12% 95% Low single digit inflation Seafood 9% 95% Low double digit inflation Chicken 8% 95% Low single digit in
Slide 12: Preliminary Fiscal 2027 Outlook
Preliminary Fiscal 2027 Outlook New Restaurant Openings 75 to 80 Bahama Breeze Conversions approximately 14 Capital Spending approximately $850 million New Restaurants approximately $475 million Bahama Breeze Conversions approximately $25 million Maintenance/All Other approximately $350 million Effe
Slide 13: Non-GAAP Information
J DARDEN RESTAURANTS Non-GAAP Information
Slide 14: Reported to Adjusted Earnings Reconciliations
Reported to Adjusted Earnings Reconciliations Q3 2026 Q3 2025 Earnings Diluted Earnings Diluted Before Income Net Before Income Net Income Tax Net Earnings Income Tax Net Earnings $ in millions, except EPS Tax Expense Earnings Per Share Tax Expense Earnings Per Share Reported Earnings from Continuin
Slide 15: Reported to Adjusted Earnings Outlook Reconciliation
Reported to Adjusted Earnings Outlook Reconciliation Fiscal 2026 Reported diluted net earnings per share from continuing operations $ 10.40 to $ 10.50 Chuy's transaction and integration related costs $ 0.06 $ 0.06 Closed restaurant and other strategy review costs1 $ 0.15 $ 0.15 Impairment due to res