ORLANDO, Fla., Feb. 23, 2012 /PRNewswire/ -- Darden
Restaurants, Inc. (NYSE: DRI) today reported that it expects
diluted net earnings per share from continuing operations for its
fiscal third quarter ending February 26,
2012, to be approximately $1.23 to
$1.25. The Company also estimates that, compared to
the prior year, blended U.S. same-restaurant sales for Olive
Garden, Red Lobster and LongHorn Steakhouse for the third quarter
will increase approximately +4% and blended U.S. same-restaurant
sales for the Company's Specialty Restaurant Group for the third
quarter will increase approximately +6%. Among the Company's
large brands, U.S. same-restaurant sales for the third quarter are
estimated to be up approximately +7% at LongHorn Steakhouse, +6% at
Red Lobster and +2% at Olive Garden.
(Logo: http://photos.prnewswire.com/prnh/20050203/FLTH026LOGO
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The Company reported that estimated same-restaurant sales
results for its fiscal third quarter benefited from a shift in the
Lenten season, which started during the fiscal third quarter this
year but during the fiscal fourth quarter last year, and from less
severe winter weather quarter-to-date this year than last
year. Estimated blended same-restaurant sales growth for
Olive Garden, Red Lobster and LongHorn Steakhouse for the third
quarter is approximately 70 basis points higher due to the Lenten
season shift and approximately 200 basis points higher due to the
less severe weather. More specifically, estimated third
quarter same-restaurant sales growth at Red Lobster, whose
signature national LobsterFest™ feature is tied to the Lenten
season, is approximately 190 basis points higher due to the shift
in the season. The Company expects to release its fiscal 2012
third quarter earnings on Friday, March 23,
2012, at 7:00 am ET.
"We're pleased with the results we've seen thus far in the third
quarter," said Clarence Otis,
Chairman and Chief Executive Officer of Darden. "Each of our
brands has solid sales momentum and, as we've anticipated for some
time now, our year-over-year cost comparisons are trending in the
right direction. As a result, we expect strong earnings
growth the second half of the year and are affirming our sales and
diluted net earnings per share outlook for the full fiscal
year. One of the things we can't control, of course, is
weather. And, certainly, more severe weather than anticipated
during the balance of the winter would adversely affect both sales
and earnings. We are, however, confident in our promotional
and other strategies and in our underlying momentum. And we
continue to believe that, beyond this fiscal year, we have
everything it takes to continue growing market share profitably and
continue creating the kind of superior value our shareholders
expect."
Darden affirmed that it expects combined full-year U.S.
same-restaurant sales growth in fiscal 2012 of approximately +2.5%
to +3.0% for Red Lobster, Olive Garden and LongHorn Steakhouse, and
that it expects to open approximately 85 to 90 net new restaurants
(excluding the addition of 11 Eddie V's restaurants) in fiscal
2012. As a result, the Company continues to expect total
sales growth of +7.0% to +7.5% in fiscal 2012. The Company also
affirmed that it expects diluted net earnings per share growth from
continuing operations in fiscal 2012 to be between +4% and +7%,
which is consistent with the full-year earnings outlook the Company
provided in December in connection with the release of its fiscal
second quarter results.
Darden will hold an analyst and investor meeting on Friday, February 24, 2012 in New York City.
This meeting will be broadcast live over the Internet. The
Company will discuss its current business strategy and future
expectations. The subjects to be covered may also include
additional forward-looking information, such as the outlook for the
current month, quarter or year, and the Company's previously
announced earnings guidance. Participants at the meeting may
pose questions to management and in response, the Company may
disclose additional material information. To listen to the
meeting live, please go to the following website at least fifteen
minutes early to register and download and install any necessary
audio software. For those who cannot listen to the live broadcast,
the webcast and slides will be available shortly after the meeting
on the Company's website at www.darden.com.
What:
|
Darden
Restaurants, Inc. Analyst and Investor Meeting
|
When:
|
8:30 am –
12:00 pm ET, Friday, February 24, 2012
|
Where:
|
http://www.videonewswire.com/event.asp?id=84422
|
How:
|
Live over
the Internet - Simply log on to the web at the address
above
|
Darden Restaurants, Inc., (NYSE: DRI), the world's largest
full-service restaurant company, owns and operates more than 1,900
restaurants that generate over $7.5
billion in annual sales. Headquartered in Orlando, Florida and employing 180,000 people,
Darden is recognized for a culture that rewards caring for and
responding to people. In 2012, Darden was named to the FORTUNE "100
Best Companies to Work For" list for the second year in a row. Our
restaurant brands - Red Lobster, Olive Garden, LongHorn Steakhouse,
The Capital Grille, Bahama Breeze,
Seasons 52 and Eddie V's - reflect the rich diversity of those who
dine with us. Our brands are built on deep insights into what our
guests want. For more information, please visit
www.darden.com.
Forward-looking statements in this news release regarding our
expected earnings per share and U.S. same-restaurant sales for the
quarter and fiscal year, new restaurant growth and all other
statements that are not historical facts, including without
limitation statements concerning our future economic performance,
plans or objectives, are made under the Safe Harbor provisions of
the Private Securities Litigation Reform Act of 1995. Any
forward-looking statements speak only as of the date on which such
statements are made, and we undertake no obligation to update such
statements to reflect events or circumstances arising after such
date. We wish to caution investors not to place undue reliance on
any such forward-looking statements. By their nature,
forward-looking statements involve risks and uncertainties that
could cause actual results to materially differ from those
anticipated in the statements. The most significant of these
uncertainties are described in Darden's Form 10-K, Form 10-Q and
Form 8-K reports (including all amendments to those reports). These
risks and uncertainties include food safety and food-borne illness
concerns, litigation, unfavorable publicity, federal, state and
local regulation of our business including health care reform,
labor and insurance costs, technology failures, failure to execute
a business continuity plan following a disaster, health concerns
including virus outbreaks, the intensely competitive nature of the
restaurant industry, factors impacting our ability to drive sales
growth, the impact of the indebtedness we incurred in the RARE
acquisition, our plans to expand our newer brands like Bahama Breeze and Seasons 52, our ability to
successfully integrate Eddie V's restaurant operations, a lack of
suitable new restaurant locations, higher-than-anticipated costs to
open, close or remodel restaurants, increased advertising and
marketing costs, a failure to develop and recruit effective
leaders, the price and availability of key food products and
utilities, shortages or interruptions in the delivery of food and
other products, volatility in the market value of derivatives,
general macroeconomic factors including unemployment and interest
rates, severe weather conditions, disruptions in the financial
markets, risks of doing business with franchisees and vendors in
foreign markets, failure to protect our service marks or other
intellectual property, a possible impairment in the carrying
value of our goodwill or other intangible assets, a failure of our
internal controls over financial reporting, or changes in
accounting standards, and other factors and uncertainties discussed
from time to time in reports filed by Darden with the Securities
and Exchange Commission.
SOURCE Darden Restaurants, Inc.: Financial