Darden Restaurants, Inc. · NYSE:DRI
Darden Restaurants — Q4 2026 Earnings Presentation
34 slides from Darden Restaurants's earnings presentation, Jun 25, 2026
Slide 1: Supplemental Materials: Fiscal 2026 Fourth Quarter Results
Supplemental Materials Fiscal 2026: Fourth Quarter Results June 25, 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: Full-service restaurant company with a winning strategy
Full-service restaurant company Clear roadmap to grow our Strong commitment to disciplined with a winning strategy portfolio of iconic brands capital stewardship Category Outperformance ⎜ History of Industry Durable Free Cash Flow ⎜ Thoughtfully deploying Differentiated Brands ⎜ Clear, unique value
Slide 4: 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 & Execution Service Atmosphere Our People Extensive Rigorous Qua
Slide 5: 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 6: Ten-Year Average Annual Total Shareholder Return
Ten-Year Average Annual Total Shareholder Return Never Below 10% for Any 10-Fiscal Year Period as a Public Company 24% 18% 17% 17% 17% 17% 16% 16% 16% 14% 15% 14% 14% 14% 12% 12% 11% 11% 11% 11% 10% 10% 1995- 1996- 1997- 1998- 1999- 2000- 2001- 2002- 2003- 2004- 2005- 2006- 2007- 2008- 2009- 2010- 2
Slide 7: Portfolio of Differentiated and Iconic Brands
Portfolio of Differentiated and Iconic Brands FY26 Total Sales1 Average Annual Restaurant Sales2 Restaurants3 $5.6 B $5.8 M 949 $3.4 B $5.6 M 618 $655 M $8.8 M 74 Fine Dining $462 M $5.5 M 83 $258 M $8.5 M 31 $974 M $10.5 M 93 Other Business $796 M $4.3 M 184 $489 M $4.4 M 110 $317 M $7.1 M 44 1 Twe
Slide 8: Olive Garden
Abundant, craveable Italian food including never-ending servings of freshly baked breadsticks and homemade soup or garden salad with every meal. Appeal spans all age ranges and income groups. Dominant brand in Darden portfolio expected to trend toward low end of new restaurant growth within our Long
Slide 9: LongHorn Steakhouse
Fresh, never frozen steaks perfectly seasoned and expertly grilled. Appeal spans all age ranges and income groups. Dominant brand in Darden portfolio expected to trend toward high end of new restaurant growth within our Long-Term Framework over time. • 618 company-owned restaurants in the U.S. • $3.
Slide 10: Yard House
Great food, classic rock and over 100 beers on tap. Broadly appealing with a diverse guest base that tends to skew younger and higher income. High-potential growth brand expected to trend at high end of new restaurant growth within our Long-Term Framework over time. • 93 company-owned restaurants in
Slide 11: Ruth's Chris Steak House
Approachable fine dining steak house with perfectly seasoned steaks served sizzling on 500-degree plates. Appeals to a broad guest base, spanning age ranges and income levels. Balanced growth brand with opportunistic expansion over time. • 83 company-owned restaurants in the U.S. • $462 million in a
Slide 12: Cheddar's Scratch Kitchen
American classics and homestyle comfort food at wallet-pleasing prices. Appeal spans all age ranges and income groups. High-potential growth brand expected to trend at high end of new restaurant growth within our Long-Term Framework over time. • 184 company-owned restaurants in the U.S. • $796 milli
Slide 13: The Capital Grille
Hand cut, dry-aged steaks. Award- winning wine list. Personalized service. Affluent guest base with a balance of urban and suburban locations. Balanced growth brand with opportunistic expansion over time. • 74 company-owned restaurants in the U.S. • $655 million in annual sales • $8.8 million AUV As
Slide 14: Chuy's
Fresh, authentic Tex-Mex, served in a fun and eclectic setting. Appeal spans all age ranges and income groups. High-potential growth brand expected to trend at high end of new restaurant growth within our Long-Term Framework over time. • 110 company-owned restaurants in the U.S. • $489 million in an
Slide 15: Eddie V's
Seasonally-inspired menu of craveable offerings all under 595 calories served in a casually-sophisticated atmosphere. Broadly appealing with a diverse guest base that tends to skew older and higher income. Balanced growth brand with opportunistic expansion over time. • 44 company-owned restaurants i
Slide 16: The Capital Grille
The finest seafood and steaks. World- class wine and service. Live music trios in the V lounge. Affluent guest base with predominately suburban locations. Balanced growth brand with opportunistic expansion over time. • 31 company-owned restaurants in the U.S. • $258 million in annual sales • $8.5 mi
Slide 17: Franchise Locations by Region
Region Locations Continental US 64 Latin America 36 Hawaii, Puerto Rico, Guam 23 Asia 23 Canada 14 Middle East 4 Caribbean 2 Europe 1 Total 167 As of May 31, 2026 OUR BRANDS 17
Slide 18: Financial Results
J DARDEN RESTAURANTS Financial Results
Slide 19: Fiscal 2026 Fourth Quarter Financial Highlights
Fiscal 2026 Fourth Quarter Financial Highlights $3.7 Billion 13.7% 4.6% SAME-RESTAURANT SALES TOTAL SALES TOTAL SALES GROWTH GROWTH1 $678 Million $3.66 $310Million ADJUSTED DILUTED NET EPS ADJUSTED EBITDA2 FROM CONTINUING CASH RETURN3 OPERATIONS2 Fourth quarter fiscal 2026 includes a 14th week of op
Slide 20: Margin Analysis vs. Prior Year
Margin Analysis vs. Prior Year As Reported As Adjusted1 Q4 2026 Q4 2026 Q4 2026 vs Q4 2025 (bps) ($ millions) ($ millions) % of Sales Favorable/(Unfavorable) Sales $3,718.8 $3,718.8 Food and Beverage $1,119.3 $1,119.3 30.1 % — Restaurant Labor $1,147.4 $1,147.4 30.9 % 40 Restaurant Expenses $586.0 $
Slide 21: Fourth Quarter Segment Performance
Fourth Quarter Segment Performance Segment Sales ($ millions) Fine Dining Other Business % 11.4 $1,538 9% 21. $1,017 $1,381 9.8% $834 10.9% $722 794 $371 $335 FY25 Q4 FY26 Q4 FY25 Q4 FY26 Q4 FY25 Q4 FY26 Q4 FY25 Q4 FY26 Q4 Segment Profit Margin1 Fine Dining Other Business 23.8% 24.3% 20.1% 21.2% 17.
Slide 22: Fiscal 2026 Financial Highlights
Fiscal 2026 Financial Highlights $13.2 Billion 9.4% 4.5% SAME-RESTAURANT SALES TOTAL SALES TOTAL SALES GROWTH GROWTH1 $2.2 Billion $10.64 $1.4 Billion ADJUSTED DILUTED NET EPS Adjusted EBITDA2 FROM CONTINUING CASH RETURN3 OPERATIONS2 Fiscal 2026 includes a 53rd week of operations compared to 52 week
Slide 23: Margin Analysis vs. Prior Year
Margin Analysis vs. Prior Year As Reported As Adjusted1 Fiscal 2026 Fiscal 2026 Fiscal 2026 vs Fiscal 2026 (bps) ($ millions) ($ millions) % of Sales Favorable/(Unfavorable) Sales $13,210.9 $13,210.9 Food and Beverage $4,038.8 $4,038.8 30.6 % (30) Restaurant Labor $4,182.4 $4,182.4 31.7 % 10 Restaur
Slide 24: Achieved Long-Term Framework TSR Over Past 7 Years
Achieved Long-Term Framework TSR Over Past 7 Years FY19 - FY26 Framework Annualized Return1 (Over Time) New Restaurant Growth 3% - 4% 3.1%2 Same-Restaurant Sales 1.5% - 3.5% 3.1%3 EAT Margin Expansion 0 - 20 bps 10 bps Business Performance (EAT Growth) 6% - 10% 7.5% Dividend Payout Ratio 50% - 60% 5
Slide 25: Strong Business Model Generates Durable Cash Flows
Strong Business Model Generates Durable Cash Flows Adjusted EBITDA1,2 from Continuing Operations ($ in millions) $2,162 9% CAGR $1,977 $1,825 $1,531 $1,590 COVID $1,184 $1,039 $794 Fiscal 2019 Fiscal 2020 Fiscal 2021 Fiscal 2022 Fiscal 2023 Fiscal 2024 Fiscal 2025 Fiscal 2026 CapEx3 $478 $485 $270 $
Slide 26: Fiscal 2027 Annual Outlook
Fiscal 2027 Annual Outlook SALES DEVELOPMENT MARGIN Total Sales Restaurant Openings Total Inflation $13.6 billion to $13.75 billion 75 to 80 approximately 3.0% Commodities: approx. 3.0% Same-Restaurant Sales Capital Spending Growth1 EBITDA2 approximately $875 million 2.5% to 3.5% $2.26 billion to $2
Slide 27: Commodities Outlook - First Half
Commodities Outlook - First Half June - November FY2027 Spend by category Coverage Outlook Beef 28% 70% Low single digit inflation Dairy / Oil1 13% 75% Low single digit deflation Produce 12% 90% Low single digit inflation Seafood 8% 90% High single digit inflation Chicken 8% 100% Flat Wheat2 6% 95%
Slide 28: Non-GAAP Information
J DARDEN RESTAURANTS Non-GAAP Information
Slide 29: Q4 Reported to Adjusted Earnings Reconciliations
Q4 Reported to Adjusted Earnings Reconciliations Q4 2026 Q4 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 Contin
Slide 30: Annual Reported to Adjusted Earnings Reconciliations
Annual Reported to Adjusted Earnings Reconciliations Fiscal 2026 Fiscal 2025 Earnings Income Diluted Net Earnings Income Diluted Net Before Tax Net Earnings Per Before Tax Net Earnings Per $ in millions, except EPS Income Tax Expense Earnings Share Income Tax Expense Earnings Share Reported Earnings
Slide 31: Adjusted EBITDA and EBITDAR Reconciliations
Adjusted EBITDA and EBITDAR Reconciliations1 $ in millions 5/26/2019 5/31/2020 5/30/2021 5/29/2022 5/28/2023 5/26/2024 5/25/2025 5/31/2026 Sales $8,510.4 $7,806.9 $7,196.1 $9,630.0 $10,487.8 $11,390.0 $12,076.7 $13,210.9 Net Earnings (Loss) from Continuing Operations $718.6 $(49.2) $632.4 $954.7 $98
Slide 32: Non-GAAP Reconciliations
Non-GAAP Reconciliations 1 See slide 25 for non-GAAP figures presented. 2 In April 2018, our Benefits Plans Committee approved the termination of our primary non-contributory defined benefit pension plan. In fiscal 2020, the benefit obligation to plan participants was settled, resulting in a pension
Slide 33: Adjusted Total Debt Reconciliations
Adjusted Total Debt Reconciliations1 $ in millions 5/26/2019 5/31/2020 5/30/2021 5/29/2022 5/28/2023 5/26/2024 5/25/2025 5/31/2026 Short-term debt 2 — $270.0 — — — $86.8 — $694.0 Capital lease obligation $84.0 — — — — — — — Long-term debt2 $939.1 $939.1 $939.1 $939.1 $939.1 $1,439.1 $2,189.1 $1,689.
Slide 34: Fiscal 2027 EBITDA Outlook Reconciliation
Fiscal 2027 EBITDA Outlook Reconciliation1 Net Earnings from Continuing Operations $1.26 billion to $1.29 billion Interest, Net $0.21 billion $0.20 billion Income Tax Expense $0.19 billion $0.20 billion Depreciation and Amortization $0.60 billion $0.60 billion EBITDA $2.26 billion to $2.29 billion 1