OLIVE GARDEN parent company Darden has announced plans to open around 50 new restaurants in 2024.
The expansion comes despite tough conditions in the restaurant industry.
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Darden is planning to open approximately 50 new restaurants in 2024, the company has revealed in its fiscal 2024 financial outlook.
Although Darden has not named exactly which restaurants will open or where they will be located, the multi-brand operator is behind some of America’s best-known eateries.
DARDEN RESTAURANT BRANDS
Around 45 percent of Darden sales come from Olive Garden, of which it owns 884 outlets.
Sales were up at Olive Garden in the fourth quarter 2023 compared to the same period last year.
Aside from the well-known American-Italian joint, Darden also owns a portfolio of fine-dining restaurants and steakhouses.
There are 579 LongHorn Steakhouse locations, which have also enjoyed a strong year of sales.
In May, Darden announced it was purchasing Ruth’s Chris Steak House, which has expanded to 154 locations over its 60-year history.
Other restaurants owned by Darden include The Capital Grille and Eddie V’s.
Between these brands, the group has more than 1,800 restaurants in all 50 states.
STATE OF THE BUSINESS
But Darden president and chief executive officer Rick Cardenas has admitted the company faces “a tough operating environment” as Americans tighten their belts.
Although more Olive Garden, Longhorn Steakhouse, and Ruth’s Chris Steak House restaurants are on their way, other brands have not been so fortunate.
Competitor Applebee’s has shuttered several eateries this year for various reasons.
Unlike Olive Garden, the grill house is owned by franchise holders, who have suffered their own unique challenges.
In Sheboygan, Wisconsin, a franchisee explained to customers that “the business economics of the restaurant were no longer favorable,” as he shuttered his location earlier this month.
Another Applebee’s franchise holder in Queens, New York was evicted after failing to pay $1.2million in owed rent.
Fast-food restaurants have also been struggling.
The chief executive officer of Burger King plans to close 400 outlets by the end of 2023.
And a franchisee of Hardee’s has filed for bankruptcy after closing 39 restaurants.
