Darden Restaurants partners with Uber for on-demand delivery pilot at Cheddar’s Scratch Kitchen

USA – Darden Restaurants, in partnership with Uber Technologies, has launched an on-demand delivery pilot at Cheddar’s Scratch Kitchen, expanding its service options for customers.

Cheddar’s has launched a delivery trial in ten restaurants, allowing customers to place orders directly through its website and app, with Uber Direct handling the logistics.

Following this initial phase, the service is expected to expand across the brand’s network.

Darden’s chief information officer, Chris Chang, highlighted the company’s strong partnership with Uber Direct, noting that insights from an earlier Olive Garden pilot and its subsequent success led to the decision to introduce the service at Cheddar’s.

Uber Eats head of Americas and delivery vice president, Sarfraz Maredia, emphasized the company’s commitment to adapting to evolving restaurant needs.

He pointed to positive feedback from Olive Garden operators on Uber Direct’s integration and expressed confidence in delivering similar benefits for Cheddar’s.

Darden reported a 6.2% increase in total sales, reaching US$3.2 billion for the fiscal third quarter (Q3) ended February 23, 2025.

This growth was driven by a 0.7% rise in same-restaurant sales and the acquisition of 103 Chuy’s locations, along with 40 net new restaurants.

Net income rose to US$323.4 million from US$312.9 million in the same period last year. The board of directors declared a quarterly cash dividend of US$1.40 per share, payable on May 1, 2025.

Operating costs and expenses for Q3 increased to US$2.73 billion from US$2.58 billion in the previous year. In revising its fiscal 2025 outlook, Darden has accounted for Chuy’s operating results while excluding US$47 million in pre-tax transaction and integration costs.

The company now expects total sales of US$12.1 billion, same-restaurant sales growth of 1.5%, and between 50 and 55 new restaurant openings. Capital expenditures are projected at US$650 million, with inflation estimated at 2.5%.

The expansion aligns with Uber’s broader strategy of strengthening market share through partnerships.

On March 20, Uber Eats and Co-op extended their quick commerce partnership for three years, reinforcing Co-op’s focus on fast and convenient home deliveries across the UK.

Since launching in 2022, the partnership has expanded Uber Eats’ availability to over 1,300 Co-op stores. Additionally, Co-op will deepen its collaboration with Uber Direct, which will now support deliveries for the retailer’s new app, Peckish.

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