Darden Restaurants (DRI) reported revenues of $2.23 billion in the fourth quarter—lower than analysts’ expectation of $2.24 billion. The lower-than-forecasted SSSG (same-store sales growth) could have caused the company’s revenues to fall below analysts’ estimates.
Darden’s revenues rose 4.5% year-over-year from $2.13 billion in the fourth quarter of 2018. The net addition of 39 new restaurants and positive SSSG of 1.6% drove the company’s revenues during the fourth quarter.
Olive Garden reported revenues of $1.11 billion—a rise of 3.7% from $1.07 billion in the fourth quarter of 2018. The net addition of ten restaurants in the last four quarters contributed 1.3% of the growth, while the SSSG contributed 2.4%.
LongHorn Steakhouse reported revenues of $484.4 million for the fourth quarter—a rise of 5.7% from $458.2 million in the fourth quarter of fiscal 2018. The brand’s SSSG contributed 3.3% to its revenue growth. The net addition of ten units in the last four quarters contributed the remaining 2.4%.
The revenues from the Fine Dining segment, which includes sales from The Capital Grille and Eddie V’s, rose 5.0% to $154.6 million. The same-store sales increased 2.9% at The Capital Grille and 2.0% at Eddie V’s. The net addition of two new restaurants across both of the brands drove the segment’s revenues during the fourth quarter.
For the fourth quarter, the revenues from the Others segment rose 4.9% to $483.1 million. The net addition of 17 restaurants across the four brands drove the company’s revenues during the fourth quarter. However, all four of the brands reported a negative SSSG during the fourth quarter, which offset some of the increase in the segment’s revenues.