Description

Darden Restaurants Is Building a Value-First Moat — The Powerful Strategy Across Olive Garden, LongHorn, & Fine Dining!

Darden Restaurants reported solid financial results in the second quarter of fiscal year 2026, demonstrating resilience and strategic operational execution. The company’s total sales grew 7% year-over-year to $3.1 billion, driven by a 4.3% increase in same-restaurant sales, the addition of 30 net new restaurants, and the acquisition of Chuy’s. Olive Garden and LongHorn Steakhouse were standout performers, contributing significantly to the outperformance against the industry benchmark. On the positive side, Olive Garden achieved 4.7% growth in same-restaurant sales, bolstered by successful promotions like the Never Ending Pasta Bowl and the introduction of first-party delivery. This first-party delivery service registered as 4% of total sales, half of which was incremental, and attracted younger, more affluent customers who frequently order with higher check averages than dine-in patrons. Similarly, LongHorn Steakhouse saw same-restaurant sales grow by 5.