Darden Stock Surges as LongHorn Steakhouse Strength Powers Sales Growth

Core Insights - Darden Restaurants shares surged 14% following better-than-expected second-quarter sales and adjusted profit, driven by strong performance at LongHorn Steakhouse [1][6] - The company reported net income of $215.1 million, or $1.82 per share, on revenue of $2.89 billion, surpassing analyst expectations [2] - Adjusted earnings per share (EPS) were $2.03, slightly above the forecast [3] Sales Performance - LongHorn Steakhouse experienced a 7.5% year-over-year increase in same-restaurant sales, exceeding the anticipated 4.3% growth [4] - Olive Garden's same-restaurant sales rose by 2%, while fine dining operations saw a decline of 5.8%, nearly double the expected 3% drop [4] Financial Outlook - Darden raised its fiscal 2025 revenue projection to approximately $12.1 billion, up from the previous range of $11.8 billion to $11.9 billion [5] - The company expects same-restaurant sales growth of 1.5%, narrowed from a previous estimate of 1% to 2%, while maintaining its EPS outlook from continuing operations at $9.40 to $9.60 [5]