Darden Restaurants Inc (NYSE:DRI) stock rose 0.35% (As on March 20, 1:57:56 AM UTC-4, Source: Google Finance) after the company reported third-quarter fiscal 2026 results, with earnings meeting the market expectations and revenues beating the same. This upside was backed by a blended same-restaurant sales increase of 4.2%. Also, contributions from 31 net new restaurants added to the positives. As of Feb. 22, 2026, cash and cash equivalents were $240.4 million compared with $240 million as of May 25, 2025. During the fiscal third quarter, inventories were $345.3 million compared with $354.5 million reported in the previous quarter. As of Feb. 22, 2026, long-term debt was $2.14 billion compared with $2.13 billion as of May 25, 2025.
Moreover, During the fiscal third quarter, sales at Olive Garden increased 4.7% year over year to $1.39 billion. Comps in the segment increased 3.2% year over year compared with a 4.7% rise reported in the previous quarter. At LongHorn Steakhouse, sales were up 11.2% year over year to $854.2 million. Comps in the segment rose 7.2% year over year compared with 5.9% growth reported in the previous quarter. Sales in Fine Dining increased 4.3% year over year to $402 million. Comps in the segment rose 2.1% year over year compared with 0.8% reported in the previous quarter. Sales in Other Business increased 3.2% year over year to $696.1 million. Comps in the Other Business rose 3.9% year over year compared with a 3.1% rise reported in the previous quarter.
DRI in the third quarter of FY 26 has reported the adjusted earnings per share of $2.95, which is inline with the analysts’ estimates for the adjusted earnings per share of $2.95. The company had reported the adjusted revenue growth of 5.9 percent to $3.35 billion in the third quarter of FY 26, beating the analysts’ estimates for revenue of $3.33 billion.
For fiscal 2026, the company expects total sales growth of approximately 9.5% (compared with the prior estimate of 8.5% to 9.3%), including approximately 2% growth related to the 53rd week. Same-restaurant sales growth in fiscal 2026 is anticipated to be approximately 4.5% year over year compared with the earlier estimate of 3.5% to 4.3%. Adjusted diluted EPS from continuing operations continues to be anticipated in the band of $10.57-$10.67 compared with the previous estimate of $10.50-$10.70. Darden expects to open approximately 70 net new restaurants and a total capital spending of $750-$775 million in fiscal 2026.