GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Restaurants » Darden Restaurants Inc (NYSE:DRI) » Definitions » EBIT

Darden Restaurants (Darden Restaurants) EBIT

: $1,325 Mil (TTM As of Feb. 2024)
View and export this data going back to 1995. Start your Free Trial

Darden Restaurants's earnings before interest and taxes (EBIT) for the three months ended in Feb. 2024 was $388 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Feb. 2024 was $1,325 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Darden Restaurants's annualized ROC % for the quarter that ended in Feb. 2024 was 11.43%. Darden Restaurants's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was 20.44%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Darden Restaurants's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was 5.70%.


Darden Restaurants EBIT Historical Data

The historical data trend for Darden Restaurants's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Darden Restaurants Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
EBIT
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 836.30 -98.80 641.70 1,164.10 1,209.60

Darden Restaurants Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
EBIT Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 351.20 394.70 256.00 286.00 387.80

Competitive Comparison

For the Restaurants subindustry, Darden Restaurants's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Darden Restaurants EV-to-EBIT Distribution

For the Restaurants industry and Consumer Cyclical sector, Darden Restaurants's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Darden Restaurants's EV-to-EBIT falls into.



Darden Restaurants EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Feb. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,325 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Darden Restaurants  (NYSE:DRI) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Darden Restaurants's annualized ROC % for the quarter that ended in Feb. 2024 is calculated as:

ROC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=1551.2 * ( 1 - 10.69% )/( (12156.9 + 12075.1)/ 2 )
=1385.37672/12116
=11.43 %

where

Note: The Operating Income data used here is four times the quarterly (Feb. 2024) data.

2. Joel Greenblatt's definition of Return on Capital:

Darden Restaurants's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2023  Q: Feb. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1551.2/( ( (7583.2 + max(-1359.6, 0)) + (7596.2 + max(-1481.2, 0)) )/ 2 )
=1551.2/( ( 7583.2 + 7596.2 )/ 2 )
=1551.2/7589.7
=20.44 %

where Working Capital is:

Working Capital(Q: Nov. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(80.3 + 310.6 + 281.1) - (679.1 + 547.3 + 805.2)
=-1359.6

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(72.2 + 298.2 + 262.1) - (679.1 + 626 + 808.6)
=-1481.2

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Feb. 2024) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Darden Restaurants's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Feb. 2024 )
=1324.5/23239.174
=5.70 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Darden Restaurants EBIT Related Terms

Thank you for viewing the detailed overview of Darden Restaurants's EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


Darden Restaurants (Darden Restaurants) Business Description

Traded in Other Exchanges
Address
1000 Darden Center Drive, Orlando, FL, USA, 32837
Darden Restaurants is the largest restaurant operator in the U.S. full-service space, with consolidated revenue of $10.5 billion in fiscal 2023 resulting in 3%-4% full-service market share (per NRA data and our calculations). The company maintains a portfolio of 10 restaurant brands: Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Ruth's Chris, Yard House, The Capital Grille, Seasons 52, Eddie V's, Bahama Breeze, and The Capital Burger. Darden generates revenue almost exclusively from company-owned restaurants, though a small network of franchised restaurants and consumer-packaged goods sales through the traditional grocery channel contribute modestly. As of the end of its fiscal 2023, the company operated 1,914 restaurants in the U.S.
Executives
John W. Madonna officer: SVP, Corporate Controller 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Douglas J. Milanes officer: SVP, Chief Supply Chain Ofcr 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Melvin John Martin officer: President, SRG 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Sarah H. King officer: SVP, Chief HR Officer 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Susan M. Connelly officer: SVP, Chief Comm & PA Officer 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Lee Eugene I Jr officer: President, Speciality Rest Grp 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Rajesh Vennam officer: SVP, CFO and Treasurer 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Ricardo Cardenas officer: SVP Chief Strategy Officer 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Matthew R Broad officer: SVP General Counsel C/O DARDEN RESTAURANTS, INC., 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Todd Burrowes officer: President, LongHorn Steakhouse 150 WEST CHURCH AVENUE, MARYVILLE TN 37801
Daniel J. Kiernan officer: President, Olive Garden 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
William S Simon director 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Nana Mensah director 1301 AVENUE OF THE AMERICAS, NEW YORK NY 10019
Richard L. Renninger officer: SVP, Chief Development Officer 1000 DARDEN CENTER DRIVE, ORLANDO FL 32837
Timothy J Wilmott director C/O PENN NATIONAL GAMING, INC., 825 BERKSHIRE BLVD., SUITE 200, WYOMISSING PA 19610

Darden Restaurants (Darden Restaurants) Headlines