06:35 AM EDT, 09/02/2025 (MT Newswires) -- Darden Restaurants ( DRI ) is expected to report fiscal first-quarter results above market estimates and slightly increase its full-year outlook amid strong Olive Garden ( DRI ) same-store sales, according to Truist Securities.

Truist estimates the restaurant operator to report per-share earnings of $2.03 and consolidated same-store sales growth of 5% for the first quarter, up from its previous forecast of $2 and a 4.4% increase, respectively, the brokerage said in a Monday client note. The current consensus on FactSet is for non-GAAP EPS of $1.99 and same-store sales growth of 4.1%.

For fiscal 2026, the brokerage now projects Darden to record EPS of $10.75 and same-store sales growth of 3.7%, compared with its prior estimates of $10.70 and a 3.5% rise. In June, the company said it expected EPS to be in a range of $10.50 to $10.70 and same-restaurant sales to advance by 2% to 3.5% for the ongoing fiscal year. The Street is looking for non-GAAP EPS of $10.69 and same-store sales to increase by 3.4%.

Darden is scheduled to release its latest quarterly results on Sept. 18.

The success of Olive Garden's ( DRI ) delivery marketing, an incremental sales driver, and its value promotions may prompt Darden's senior management to lift its full-year guidance, even though the company usually tends to maintain its outlook within its long-term framework, according to Truist.

"While (Darden) is typically conservative with guidance (staying within its long-term framework), we think (fiscal 2026) may be nudged higher, given strong (first-quarter) results, momentum in August and success with delivery," the brokerage said in the note.

Truist said it expects Olive Garden's ( DRI ) same-restaurant sales to top Wall Street's consensus, citing its own data, highlighting the brand's "strong positioning" in the current economic environment and specific sales drivers. The brokerage also sees a solid sales beat for the restaurant with $1.32 billion in revenue.

Truist expects Olive Garden ( DRI ) trends to have potentially benefited from delivery marketing throughout the first quarter. Olive Garden ( DRI ) launched its million free deliveries campaign in May, which appeared to last into June.

The brokerage's data suggested accelerating trends at Olive Garden ( DRI ) in August and a slight slowdown at LongHorn Steakhouse.