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Jack in the Box shares fall 6% on top-line miss in Q4

EditorRachael Rajan
Published 21/11/2024, 08:14 am
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SAN DIEGO - Fast food chain Jack in the Box Inc. (NASDAQ:JACK) reported fourth quarter earnings that beat analyst expectations, but revenue fell short of estimates, sending shares down in after-hours trading.

Shares of Jack in the Box fell 5.7% in after-hours trading following the earnings release Wednesday.

The company posted adjusted earnings per share of $1.16 for the quarter ended September 29, exceeding the analyst consensus of $1.10. However, revenue came in at $349.3 million, below the $356.94 million analysts were expecting.

Jack in the Box's same-store sales decreased 2.1% in the fourth quarter, with company-operated same-store sales down 2.2% and franchise same-store sales down 2.0%. The company said sales performance was driven by a decrease in transactions and unfavorable menu mix, partially offset by price increases.

For the full fiscal year 2024, systemwide same-store sales declined 1.3% at Jack in the Box restaurants and 1.5% at Del Taco locations.

"We managed well through a difficult top-line macro environment in 2024, and will continue to aggressively pursue initiatives to help energize sales and traffic in 2025," said CEO Darin Harris.

Looking ahead, Jack in the Box provided fiscal 2025 guidance including adjusted EBITDA of $288-$303 million and operating EPS of $5.05-$5.45. The company expects flat to 1% same-store sales growth for Jack in the Box restaurants and approximately flat to -1% same-store sales for Del Taco in fiscal 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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