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Darden Restaurants Posts Growth, Authorizes $1.5 Billion Buyback

Darden Restaurants, the parent company behind Olive Garden and LongHorn Steakhouse, closed its 2026 fiscal year with a 13.7% surge in fourth-quarter sales to $3.72 billion. Bolstered by strong operational performance, the company board has responded by boosting its quarterly dividend by 8% and greenlighting a new $1.5 billion share repurchase program.

Darden Restaurants Posts Growth, Authorizes $1.5 Billion Buyback
Photo: Bio & News

The Orlando-based operator reported an adjusted diluted net earnings per share of $3.66 for the quarter, reflecting a 22.8% increase compared to the previous year. This growth was fueled by 43 net new restaurant openings and positive same-restaurant sales across its portfolio. LongHorn Steakhouse led the brand segments with a 9.5% increase in same-restaurant sales, while Olive Garden maintained steady growth at 2.4%.

President and CEO Rick Cardenas credited the company's fiscal performance to disciplined strategy and consistent execution across its diverse chain of brands. Looking ahead to fiscal 2027, Darden anticipates total sales between $13.60 billion and $13.75 billion, with plans to open 75 to 80 new locations. CFO Raj Vennam noted that the firm's operating model continues to generate significant cash flow, allowing for sustained investment in development and shareholder returns despite broader inflationary pressures of approximately 3%.

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