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DARDEN RESTAURANTS, INC. • 2016 ANNUAL REPORT 5
Seasons 52 had a strong year, growing same-restaurant
sales 4.7 percent. As an on-trend concept — giving
guests the opportunity to enjoy hand-crafted cuisine
that is healthful without sacrificing taste or style —
Seasons 52 is uniquely positioned to capitalize in a
dining segment that is poised for continued growth.
Our focus on enhancing operational execution and
evolving the menu received an incredibly positive
reaction from our guests, giving us momentum as we
build the pipeline for value-creating new restaurants.
Bahama Breeze continued to significantly outperform
the casual dining industry1 with same-restaurant sales
growth of 4.8 percent. Positioned as an island oasis
from the everyday, Bahama Breeze paired culinary
innovation with high-energy, in-restaurant events.
These events created signature experiences that
reinforced the business’ unique positioning while
attracting more guests — particularly Millennials.
At Yard House, same-restaurant sales grew 2.3 percent, the
third consecutive year of growth, as we continue to build
a loyal guest base. It’s from this base that we know that
our extensive beer selection, scratch kitchen and specially
curated rock music continued to strike a chord across
multiple demographics that joined us for lunch, happy hour,
dinner and late-night happy hour. We are extremely excited
about the growth we have planned for this business.
For the sixth consecutive year, The Capital Grille grew
same-restaurant sales — growing 3.9 percent in fiscal
2016. The Capital Grille is the ultimate relationship
brand, oering a welcoming and club-like dining
experience. Delivering high-touch experiences is
nothing new for us, and we continued to leverage
technology to enable us to personally connect with
more guests to create exclusively tailored visits.
Eddie V’s achieved same-restaurant sales growth of
1.8 percent. With its positioning as the destination for
a glamorous night out, this fine-dining restaurant was
able to capitalize on its ability to deliver unforgettable
experiences — setting new sales records during
key holidays throughout the year. Additionally, we
were able to implement operational initiatives that
simplified execution while preserving the high levels
of food quality and service for which we’re known.
We have a strong and dierentiated portfolio of businesses,
each with anticipated growth ahead of them. Reflecting this
growth opportunity, we are ramping up the development
pipeline for future sites and anticipate opening 24 to
28 new restaurants in the coming fiscal year.
COMMITTED TO
Long-Term Value Creation
1
Industry same-restaurant sales as reported by Knapp-Track (excluding Darden).
ANNUAL TARGET, OVER TIME
Business Performance (Adj. EAT Growth)
Same-restaurant sales 1-3%
7-10%
New restaurant growth 2-3%
EBIT margin expansion 10-40bps
Return of Cash
Dividend payout ratio 50-60% 3-5%
Share repurchase ($ millions) $100-$200
1015%
Total Shareholder Return
(EPS GROWTH + DIVIDEND YIELD)