Darden Restaurants, Inc. (NYSE: DRI) shares went up 8.12% after it gains +7.31 on Thursday after the company has shared the financial results for the quarter ending August 30, 2020. The company has reported the quarterly earnings of $0.56 per share, surpassing the Zack Consensus Estimate of $0.05.
Darden has recorded the sales of $1.53 billion, with a decrease of 28.4% driven by negative blended same-restaurant sales of 29.0%. If we look at the same-restaurants sales by segment, this company has reported the sales of 28.2% for Olive Garden, 39.1% for Fine Dining, 18.1% for longhorn steakhouse, 39.0% for other business.
Darden Restaurants has recorded the diluted net earnings per share from continuing operations of $0.28 as compared to the diluted net earnings per share of $1.38. Its Adjusted net earnings per share from continuing operations is $0.56 after excluding the $0.28 corporate restructuring cost. On the other hand, its reported diluted net earnings per share of $1.38.
The company has improved its cash flow in the quarter as it repaid its $270 million term loan on August 10, 2020. Darden Restaurants now has access to $1.4 billion of liquidity with $655 million of cash on hand and $750 million available through its credit facility.
Darden Restaurants gave the financial overview for the second quarter of fiscal 2021. It has estimated the total sales of approximately 82% of the previous year. EBITDA of $200 to $215 million. Diluted net earnings per share from continuing operations of $0.65 to $0.75.
Darden Restaurants, Inc. (NYSE: DRI) shares traded up 8.12% at $97.31 during the trading session of Thursday. In the past 52-weeks of trading, this company’s share fluctuated between the low range of $26.15 and a high range of $124.01. It has moved up 272.12% from its 52-weeks low and moved down -21.53% from its 52-weeks high. Looking at its liquidity, it has a current ratio of 0.60. This company market capitalization has remained high, hitting $12.89 billion at the time of writing.
The owner of Olive Garden and LongHorn Steakhouse restaurant has disclosed that the sales dropped 28% across its chain through late August. The Darden has restarted the operations at limited locations the main focus of the company is outdoor dining. Management has positive views for the company’s growth with the improvement in cash flows. The improving financial result convinced executives to reinstate the quarterly dividend payment that Darden halted as the pandemic struck in early March.