Darden Restaurants Inc (DRI)
Pretax margin
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | May 26, 2024 | Feb 29, 2024 | Feb 25, 2024 | Nov 30, 2023 | Nov 26, 2023 | Aug 31, 2023 | Aug 27, 2023 | May 31, 2023 | May 28, 2023 | Feb 28, 2023 | Feb 26, 2023 | Nov 30, 2022 | Nov 27, 2022 | Aug 31, 2022 | Aug 28, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 1,187,200 | 1,210,700 | 1,196,100 | 1,301,100 | 1,419,400 | 1,300,800 | 1,183,900 | 1,056,200 | 928,700 | 1,039,700 | 1,150,400 | 1,257,500 | 1,364,700 | 1,225,700 | 1,086,900 | 981,000 | 874,700 | 980,600 | 1,086,800 | 1,145,700 |
| Revenue (ttm) | US$ in thousands | 12,076,700 | 11,762,300 | 11,563,100 | 11,647,900 | 11,865,700 | 11,635,700 | 11,404,200 | 11,160,000 | 10,915,700 | 10,957,400 | 10,964,200 | 11,019,800 | 11,074,400 | 10,791,900 | 10,555,100 | 10,215,000 | 9,874,900 | 9,991,300 | 10,047,900 | 10,050,700 |
| Pretax margin | 9.83% | 10.29% | 10.34% | 11.17% | 11.96% | 11.18% | 10.38% | 9.46% | 8.51% | 9.49% | 10.49% | 11.41% | 12.32% | 11.36% | 10.30% | 9.60% | 8.86% | 9.81% | 10.82% | 11.40% |
May 31, 2025 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,187,200K ÷ $12,076,700K
= 9.83%
The pretax margin of Darden Restaurants Inc. has exhibited notable fluctuations over the analyzed period from August 2022 through May 2025. The data indicates an initial pretax margin of 11.40% as of August 28, 2022, which slightly decreased to 10.82% by August 31, 2022. A downward trend is observed during late 2022, with the margin declining to 9.81% on November 27, 2022, and further to 8.86% on November 30, 2022, reflecting some challenges in profitability relative to pretax earnings during this period.
Entering 2023, the pretax margin demonstrates signs of recovery, rising modestly to 9.60% by February 26, 2023, and improving further to 10.30% on February 28, 2023. This upward movement suggests operational improvements or favorable market conditions contributing to increased profitability before the summer months.
During the summer of 2023, the pretax margin continues an upward trend, reaching a peak of 11.36% on May 28, 2023, and further increasing to 12.32% by May 31, 2023. This period indicates a period of improved profitability relative to previous lows, likely driven by seasonal factors, strategic initiatives, or operational efficiencies.
However, the subsequent period from August 2023 to November 2024 witnesses a decline in the pretax margin, fluctuating between approximately 10.49% and 8.51%. The lowest figure in this interval occurs on November 30, 2023, at 8.51%. This decline may reflect increased costs, competitive pressures, or other operational headwinds impacting pre-tax profitability.
From late 2024 onward, the pretax margin shows some recovery and stabilization, reaching 11.96% by May 31, 2024, and maintaining levels around 11% through August 2024. The latest data points from late 2024 to early 2025 indicate a slight decline to 9.83% as of May 2025, but overall, the margin remains within a relatively consistent range.
In summary, Darden Restaurants Inc.'s pretax margin has experienced cyclical variations over the observed period, with periods of recovery and decline. The overall trend suggests resilience and adaptability in managing operating expenses and revenues, though occasional pressures have impacted the company's pretax profitability.
Peer comparison
May 31, 2025