Darden Restaurants Raises Quarterly Dividend 8% to $1.62

Darden Restaurants, Inc. (NYSE: DRI) raised its quarterly dividend to $1.62 per share from $1.50, an increase of 8%. The shares had an ex-dividend date of July 10, 2026.

The new rate equates to an annualized dividend of $6.48 per share. Based on a share price of $221.60, the forward annual yield is 2.92%.

The increase extends Darden’s consecutive dividend-growth streak to five years. That record follows a dividend cut in 2021, an important part of the company’s payout history for investors evaluating the consistency of its distributions.

Operating backdrop

Darden announced the higher payout alongside its fiscal 2026 fourth-quarter and full-year results. The restaurant operator said annual sales increased, supported by same-restaurant sales growth, new locations and an extra week in the fiscal year. LongHorn Steakhouse recorded the strongest same-restaurant sales growth among the company’s major reported segments. Darden Restaurants

The company also authorized a new share-repurchase program and outlined plans for further restaurant openings in fiscal 2027. Management identified inflation, labor and insurance expenses, tariffs and changing consumer preferences among the risks facing the business. Darden Restaurants

Chief Financial Officer Raj Vennam said the company’s cash generation provides capacity to fund maintenance spending, new-restaurant development and continued dividend growth. Darden’s portfolio includes Olive Garden, LongHorn Steakhouse, Yard House, Ruth’s Chris Steak House, Cheddar’s Scratch Kitchen, The Capital Grille and Chuy’s, among other brands. Darden Restaurants

What it means for income investors

The increase lifts annualized cash income by $0.48 per share compared with the previous quarterly rate. Darden carries a dividend safety score of 57 out of 100, equivalent to a C grade. That assessment points to a moderate rather than high safety profile, while the 2021 cut shows that the payout has not been uninterrupted across economic cycles.