SAN FRANCISCO (Reuters) -- Darden Restaurants Inc (DRI.N) posted a higher quarterly profit on Tuesday, boosted by the Olive Garden chain, which continued to attract casual diners in the weak economy, and lower costs that helped raise operating profit at its Red Lobster chain.

The company, which said it raised its quarterly dividend to 20 cents per share from 18 cents, said that, in fiscal 2009, its U.S. same-store sales at its Red Lobster, Olive Garden and LongHorn Steakhouse chains should rise about 2 percent.
Profit in the fiscal fourth quarter from continuing operations was $103.3 million, or 72 cents per share, from $98.5 million, or 67 cents per share, a year earlier.
Excluding estimated integration costs and purchase accounting adjustments, earnings from continuing operations were 78 cents per share, above the 75 cents, on average, expected by analysts, according to Reuters Estimates.
Chief Operating Officer Drew Madsen said in a statement the quarter and fiscal year had been ""challenging,"" but added the company's brands outperformed the industry.
Consumers have been cutting back on meals outside the home amid higher food and fuel costs and a weak housing market. Higher prices on commodities such as milk and wheat have also hit restaurant companies.
But Darden's Olive Garden chain has bucked the trend of slumping sales seen at rivals such as Brinker International Inc (EAT.N) or, to a lesser degree, Cheesecake Factory Inc (CAKE.O). In May, Olive Garden posted an 11 percent rise in same-store sales, a key gauge of retail performance.
On a net basis, Darden posted earnings of 71 cents, compared with a year-ago net loss of 38 cents per share, which included results from discontinued operations.