Darden Restaurants Inc (DRI)

Pretax margin

May 31, 2025 May 31, 2024 May 26, 2024 May 31, 2023 May 28, 2023
Earnings before tax but after interest (EBT) US$ in thousands 1,187,200 1,175,500 1,172,600 1,120,500 1,118,900
Revenue US$ in thousands 12,076,700 11,390,000 11,391,500 10,487,800 10,461,500
Pretax margin 9.83% 10.32% 10.29% 10.68% 10.70%

May 31, 2025 calculation

Pretax margin = EBT ÷ Revenue
= $1,187,200K ÷ $12,076,700K
= 9.83%

Based on the provided data, Darden Restaurants Inc's pretax margin demonstrates a pattern of gradual decline over the observed period. As of May 28, 2023, the pretax margin was recorded at 10.70%, closely maintained at 10.68% on May 31, 2023. Moving into the subsequent fiscal year, the margin decreased to 10.29% on May 26, 2024, and slightly increased to 10.32% on May 31, 2024, indicating minimal fluctuation during this period. However, by May 31, 2025, the pretax margin had further declined to 9.83%. The overall trend suggests a consistent decrease in pretax profitability margin over the span of approximately two years, reflecting potential pressures on operating or cost efficiencies, or changes in revenue composition that have impacted pre-tax profitability.