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Showing Original Post only (View all)Sad news for DUers, Olive Garden is in Trouble. [View all]
"Sour Olive"Motley Fool, January 3.
Full-service restaurant operator Darden Restaurants (NYSE: DRI ) came out with second-quarter results that were below analyst expectations. The company has been struggling over the past year with its largest restaurant chain, Olive Garden. Let's take a closer, Foolish look at what's cooking with Darden.
The company dished out a 6.1% increase in second-quarter sales, to $1.83 billion. This included comparable sales growth of 1.8% companywide. Darden served up an unpalatable 28% decline in earnings, mainly due to flagging performance at Olive Garden. ...
Sour olive - For the past year, Darden Restaurants has gone through tumultuous times with Olive Garden. The chain has been witness to falling sales and traffic coupled with promotional failures and heightened competition. The chain's problems include being part of an already overcrowded casual-dining market, coupled with pricing pressures at a time when food prices are going sky high. ...
The chief executive was candid enough to remark that the company was not taking bold enough steps to enhance Olive Garden's popularity. However, he claimed that January would see a change in its promotional approach along with a new menu http://www.fool.com/investing/general/2012/01/03/dardens-olive-garden-needs-some-spicing-up.aspx
The company dished out a 6.1% increase in second-quarter sales, to $1.83 billion. This included comparable sales growth of 1.8% companywide. Darden served up an unpalatable 28% decline in earnings, mainly due to flagging performance at Olive Garden. ...
Sour olive - For the past year, Darden Restaurants has gone through tumultuous times with Olive Garden. The chain has been witness to falling sales and traffic coupled with promotional failures and heightened competition. The chain's problems include being part of an already overcrowded casual-dining market, coupled with pricing pressures at a time when food prices are going sky high. ...
The chief executive was candid enough to remark that the company was not taking bold enough steps to enhance Olive Garden's popularity. However, he claimed that January would see a change in its promotional approach along with a new menu http://www.fool.com/investing/general/2012/01/03/dardens-olive-garden-needs-some-spicing-up.aspx
Who could have guessed?
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People, who would be patrons of Olive Garden type restaurants, don't have the money
Cleita
Jan 2012
#5
+1 In todays econmeny eating out is not in the budget. Not to mention Olive Garden = BAD Italian.
wandy
Jan 2012
#11
The reason most chains are disappointing is due to the way MBA's advise them
closeupready
Jan 2012
#12
I've grown weary of the restaurants owned by a syndicate somewhere but has an MBA managing it...
KansDem
Jan 2012
#18
I knew a guy who owned over 240 Burger Kings and about 50 Chevy's Restaurants...
Auggie
Jan 2012
#24
Its always "promotional failures" that are responsible for the failures of these places...
Erose999
Jan 2012
#17