Tue Jun 24 13:40:00 UTC 2025: **Summary:**

Darden Restaurants, the parent company of Olive Garden and LongHorn Steakhouse, is considering strategic alternatives for its Bahama Breeze chain, including a possible sale or conversion of the restaurants to other Darden brands. The decision comes after a strategic planning process and the closure of 15 Bahama Breeze locations in May. CEO Rick Cardenas stated that Bahama Breeze is no longer a strategic priority for Darden and believes the chain could benefit from new ownership. Darden, which operates 28 Bahama Breeze locations, reported strong fourth-quarter earnings for fiscal 2025, with a 10.6% increase in sales to $3.27 billion and net earnings of $303.8 million. The company projects 7-8% sales growth for fiscal 2026.

**News Article:**

**Darden Restaurants Considers Future of Bahama Breeze, Mulls Sale or Conversion**

**ORLANDO, FL -** Darden Restaurants (DRI), the parent company of popular chains like Olive Garden and LongHorn Steakhouse, is evaluating strategic options for its Bahama Breeze brand, CEO Rick Cardenas announced Friday. The move could potentially lead to a sale of the Caribbean-themed restaurant chain or the conversion of its existing locations to other Darden brands.

“After strategic planning and further review, we’ve made the difficult decision that Bahama Breeze’s remaining 28 restaurants and its brand are not a strategic priority for us,” Cardenas told analysts and investors during an earnings call. “We also believe that this brand and these restaurants have the potential to benefit from a new owner.”

The announcement follows the closure of 15 Bahama Breeze locations in late May, bringing the total number of restaurants to its current count. Darden, which created Bahama Breeze in the 1990s, has reportedly decided against making significant further investments in the chain.

The news came as Darden released its strong fourth-quarter financial results for fiscal 2025. The company reported $3.27 billion in sales, a 10.6% increase compared to the same period last year, and net earnings of $303.8 million. For fiscal 2026, Darden projects 7-8% growth in total sales.

“Our adherence to our winning strategy, anchored in our four competitive advantages and being brilliant with the basics, led to a successful year,” Cardenas said in a statement. “Our strategy remains the right one for the company, and we will continue to execute it to drive growth and long-term shareholder value.”

Darden Restaurants boasts a diverse portfolio of brands, including Olive Garden, LongHorn Steakhouse, Yard House, Ruth’s Chris Steak House, Cheddar’s Scratch Kitchen, The Capital Grille, Chuy’s, Seasons 52 and Eddie V’s. As of Friday afternoon, the company’s market capitalization hovered around $26.06 billion.

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