ORLANDO, Fla. _ Olive Garden and LongHorn Steakhouse parent company Darden Restaurants turned in improved sales and profits Tuesday, but weakness in the restaurant sector continues to put a haze on the Orlando-based company's recovery.
Previously hot restaurants brands Capital Grille and Eddie V's saw same restaurant sales drop, and LongHorn Steakhouse's growth slowed. Yard House sales were also flat.
Same restaurant sales, however, were up 2 percent at Olive Garden, outperforming a sluggish restaurant industry.
Darden boosted sales 1.6 percent to $1.714 billion during a first quarter that ended Aug. 28. Profits were up 27.5 percent for the quarter compared to the same period last year, bringing net earnings to $110.4 million.
Darden reported earnings per share of 88 cents, about 3 cents above analyst estimates.
Olive Garden has now turned in eight straight quarters of same restaurant sales growth and CEO Gene Lee said the company has made improvements in the two years he has led the company.
"We remain confident that we have the right strategies in place," Lee said in a call with investors.
The company also repurchased about $196 million in its own stock during the quarter.
