Darden Restaurants: Business Analysis

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Darden Restaurants Company Overview Darden Restaurants owns a number of specialty brands that are located throughout the United States and Canada. These include: the Olive Garden, Red Lobster, LongHorn Steakhouse, the Capital Grille, Bahama Breeze, Seasons 52, Eddie V's Prime Seafood and Wildfish Seafood Grille. The company has 2 thousand locations and they employ 135 thousand people. Their primary markets are middle class to affluent families. ("Our Company," 2012) Collect financial statements for the past three (3) years, fiscal or calendar The financial statements are showing that the firm is fiscally sound. This helps executives to capitalize on new opportunities in order to increase the company's earnings. For example, three important areas which are showing how the firm is enhancing their profits margins are in the sales, net earnings and dividends per common shareholder from 2010 to 2012. ("Built to Deliver," 2012) During this time, sales increased from: $7.11 billion in 2010 to $7.99 billion in 2012. Earnings improved from $2.84 to $3.57. While the total amount of dividends rose from $1.00 to $1.72. These figures are showing how the company has been continually increasing sales, earnings and dividends over the last three years. In the future, the management predicts that their current strategy will increase returns. As, executives believe that their focus on building the brand and accounting for costs will lead to net earnings of $5.20 to $7.19 annually by
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