measures would help reduce the company's debt, improve long-term financial performance across its restaurant system and strengthen the balance sheet. Christopher Sadowski The San Diego, California-based firm has engaged Bank of America Securities to assist in the process of exploring strategic alternatives for the Del Taco brand, including a possible divestiture. The hamburger chain bought Del Taco in 2022 in a $575 million deal, looking to capitalize on the Mexican food chain's drive-thru foothold. Jack in ...

About Jack Henry & Associates, Inc.® Jack Henry™ (Nasdaq: JKHY) is a well-rounded financial technology company that strengthens connections between financial institutions and the people and businesses they serve. We are an S&P 500 company that prioritizes openness, collaboration, and user centricity – offering banks and credit unions a vibrant ecosystem of internally developed modern capabilities as well as the ability to integrate with leading fintechs. For more than 48 years, Jack Henry has provided techn ...

Core Insights - Del Taco is launching a new brand campaign and introducing three value-oriented meal options called El Big Boxes, emphasizing affordability and quality [7][10] - The rebranding reflects Del Taco's California roots and innovative spirit, combining Mexican and American menu items [8][9] - The new campaign features a fictional music group, the Del Yeah's, to enhance brand engagement and promote the "Del Yeah!" attitude [9] Product Offerings - The El Big Boxes include: - $5 Clásico El Big Box: Del Combo™ Beef & Bean Burrito, Mini Quesadilla, Value Crinkle-Cut Fries, and a 16 oz Drink [12] - $7 Mex Faves El Big Box: Del Combo™ Beef & Bean Burrito, Grilled Chicken Taco, Soft Snack Taco, Mini Quesadilla, and a 16 oz Drink [12] - $9 Ameri-Mex El Big Box: Double Del® Cheeseburger, Bean & Cheese Burrito (choice of red or green sauce), Soft Snack Taco, Value Crinkle-Cut Fries, and a 16 oz Drink [12] Brand Identity - The refreshed brand identity aims to showcase Del Taco's commitment to real food, generous portions, and unbeatable value, appealing to a wide range of customers [10][13] - Del Taco's menu features a mix of signature Mexican items and American classics, prepared fresh with quality ingredients [13][14] - The company serves over three million guests weekly across nearly 600 locations in 17 states, highlighting its extensive reach and customer base [14]

Anticipating Future Growth in the US, the Experiential Agency Is Investing in Talent at the National LevelBOSTON, April 8, 2025 /PRNewswire/ -- Jack Morton, the leading global brand experience agency, proudly announces the promotion of John Howard to President, US and Ashley Brantman to SVP, Head of Growth US, Co-Head, Jack 39, alongside significant senior advancements in creative and client service roles. This strategic move follows last year's appointment of Patrick Bennett as Global Chief Creative Office ...

Shares of Jack in the Box Inc. (JACK) have declined 18.3% in the past month compared with the Zacks Retail – Restaurants industry’s 4.1% fall. The stock has underperformed the Zacks Retail-Wholesale sector’s and the S&P 500’s decrease of 8.4% and 6.9%, respectively.JACK experienced notable volatility in March. At the beginning of the month, the stock was trading above $38, reaching as high as $39.65 on Feb. 27. However, a steep decline began in mid-March, with JACK tumbling to $33.73 on March 11 and further ...

Financial Data and Key Metrics Changes - The company reported consolidated GAAP diluted earnings per share for Q1 2025 at $1.75, down from $1.93 in the prior year, while operating earnings per share was $1.92 compared to $1.95 in the previous year [16] - Restaurant level margin percentage remained flat year-over-year at 23.2%, aided by the completion of a new beverage partner contract [13] Business Line Data and Key Metrics Changes - Jack in the Box achieved positive same-store sales growth of 40 basis points for the quarter, despite challenges from California wildfires and unusual weather, which negatively impacted sales by approximately 20 basis points [11] - Del Taco faced a challenging quarter with pressured same-store sales and is also expected to post negative same-store sales in Q2, although a menu optimization initiative has shown encouraging results [14] Market Data and Key Metrics Changes - The company opened five restaurants and closed six in Q1, with expectations to open between 35 and 45 restaurants for fiscal year 2025 [13] - Del Taco's restaurant count at the end of the quarter was 589, with one opening and six closures [15] Company Strategy and Development Direction - The company is focused on capital allocation and cash flow improvement, with a slight reduction in capital expenditure guidance for the year [17][18] - The strategy includes a barbell approach to marketing, value leadership, and digital evolution to drive sales [12] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing macro pressures and anticipated negative same-store sales results for Q2, but expressed confidence in the marketing calendar and digital capabilities to drive future sales [12][39] - The leadership transition is seen as an opportunity to build on a strong foundation for growth and maximize long-term potential [9][22] Other Important Information - The company repurchased 124,000 shares for $5 million during the quarter, but plans to halt further repurchase activity for the year to focus on reducing leverage [16][17] - An updated capital expenditure range for the year is set at $100 million to $105 million, reflecting a slight reduction [18] Q&A Session Summary Question: Capital allocation and cash flow focus - Management confirmed a sharpened focus on capital allocation and cash flow, indicating that further announcements regarding free cash flow acceleration opportunities are expected in May [27][30] Question: Company store openings strategy - Management stated that while there is a place for company store builds, the focus will be on complementing franchisee growth rather than leading it [36] Question: Consumer environment and sales strategy - Management acknowledged the cautious consumer environment but expressed confidence in their sales strategy, emphasizing value and menu innovation to reestablish positive momentum [38]

For the quarter ended December 2024, Jack In The Box (JACK) reported revenue of $469.44 million, down 3.7% over the same period last year. EPS came in at $1.92, compared to $1.95 in the year-ago quarter.The reported revenue represents a surprise of -0.17% over the Zacks Consensus Estimate of $470.22 million. With the consensus EPS estimate being $1.71, the EPS surprise was +12.28%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall ...

Core Insights - Jack In The Box (JACK) reported quarterly earnings of $1.92 per share, exceeding the Zacks Consensus Estimate of $1.71 per share, but down from $1.95 per share a year ago, indicating a 1.5% year-over-year decline [1] - The company achieved an earnings surprise of 12.28% for the quarter, following a previous surprise of 4.50% [1][2] - Revenue for the quarter was $469.44 million, slightly missing the Zacks Consensus Estimate by 0.17% and down from $487.5 million year-over-year [2] - Jack In The Box has consistently surpassed consensus EPS estimates over the last four quarters, but has not beaten revenue estimates during the same period [2] Earnings Outlook - The future performance of Jack In The Box shares will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] - The current consensus EPS estimate for the upcoming quarter is $1.19, with projected revenues of $353.57 million, and for the current fiscal year, the EPS estimate is $5.32 on revenues of $1.54 billion [7] Industry Context - The Retail - Restaurants industry, to which Jack In The Box belongs, is currently ranked in the top 26% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked using tools like the Zacks Rank [5][6]

Jack in the Box (JACK) Q1 2025 Earnings Call February 25, 2025 05:00 PM ET Company Participants Chris Brandon - Vice President-Investor RelationsLance Tucker - Interim Principal Executive OfficerLauren Silberman - Director Conference Call Participants Brian Bittner - Senior Equity Analyst - RestaurantsGregory Francfort - Director - Lead Restaurant Analyst Operator Thank you for standing by, and good day, everyone. My name is Arzih, and I will be your conference operator today. At this time, I would like to ...

Sales Performance - Jack in the Box's same-store sales decreased by 0.4% for the sixteen weeks ended January 19, 2025, compared to an increase of 2.0% in the same period of 2024[89] - Del Taco's same-store sales decreased by 2.5% for the sixteen weeks ended January 19, 2025, compared to an increase of 1.8% in the same period of 2024[89] - Jack in the Box's company-operated restaurant sales increased by $1.7 million, or 1.3%, to $133.755 million for the sixteen weeks ended January 19, 2025[91] - Del Taco's company-operated restaurant sales decreased by $24.3 million, or 26.5%, to $67.651 million for the sixteen weeks ended January 19, 2025, primarily due to refranchising[102] Franchise Revenue - Franchise rental revenues for Jack in the Box increased by $0.2 million, or 0.2%, to $105.781 million for the sixteen weeks ended January 19, 2025[98] - Franchise royalties for Jack in the Box increased by $0.3 million, or 0.4%, to $61.825 million for the sixteen weeks ended January 19, 2025[99] - Franchise rental revenues increased by $3.1 million, or 41.3%, compared to the prior year, primarily due to higher rental income from 60 refranchised restaurants[5] - Total franchise revenues rose to $30.7 million, an increase of $3.5 million, or 12.9%, compared to the prior year[5] Cost Management - Food and packaging costs for Jack in the Box as a percentage of company restaurant sales decreased by 3.8% compared to the prior year, primarily due to a new beverage contract[95] - Payroll and employee benefit costs for Jack in the Box increased by 2.5% as a percentage of company restaurant sales, driven by wage inflation of approximately 14.7%[96] - Del Taco's food and packaging costs as a percentage of company restaurant sales decreased to 25.1% from 27.0% in the prior year[102] - Menu price increases of approximately 7.6% contributed to a 1.9% decrease in food and packaging costs as a percentage of restaurant sales compared to the prior year[1] - Labor inflation was 15.4% in the quarter, leading to a 2.9% increase in payroll and employee benefit costs as a percentage of restaurant sales compared to the prior year[2] Restaurant Count - The total number of Jack in the Box restaurants decreased by 1 to 2,190, while Del Taco's total number of restaurants decreased by 3 to 589 as of January 19, 2025[89] Financial Performance - Operating cash flows increased by $128.3 million compared to a year ago, primarily due to a favorable change in working capital of $132.5 million[122] - Interest expense, net decreased by $0.1 million, primarily due to a decrease of $0.4 million in interest expense from lower average borrowings[117] - The effective tax rate increased to 29.8% from 26.9% in the prior fiscal year, driven by higher tax expenses on share-based compensation[118] - Total capital expenditures decreased by $3.7 million to $35.1 million, primarily due to a decrease in the number of properties acquired for refranchising[123] Shareholder Returns - The company repurchased 0.1 million shares of common stock for an aggregate cost of $5.0 million, with $175.0 million remaining under authorized share repurchase programs[128] - The company declared a cash dividend of $0.44 per share, totaling $8.4 million, with an additional dividend declared on February 21, 2025[128][129] Debt and Liquidity - The Company completed the sale of $550.0 million of Series 2022-1 Fixed Rate Senior Secured Notes, with anticipated repayment dates in February 2027 and February 2032[130] - As of January 19, 2025, the Company had available borrowing capacity of $95.7 million under its Variable Funding Notes, net of letters of credit issued of $54.3 million[131] - The Company had restricted cash of $29.7 million as of January 19, 2025, primarily for payments of interest and commitment fees required for the Class A-1 and A-2 Notes[134] - The Company was in compliance with all debt covenant requirements as of January 19, 2025, and was not subject to any rapid amortization events[135] - Del Taco entered into a syndicated credit facility with an aggregate principal amount of up to $75.0 million, maturing on February 28, 2025, with no outstanding borrowings as of January 19, 2025[136] - The Company has had a leverage ratio greater than 5.0x since the issuance of the 2022 Notes, resuming scheduled amortization payments in the second quarter of 2022[133] - The securitized debt instruments issued by certain wholly-owned subsidiaries have restrictive terms, and failure to comply could result in default[142] Business Risks - The Company has significant competition in the food service industry, which could adversely affect its business[140] - The Company faces risks associated with its highly franchised business model, which could negatively impact its operations if franchisees fail to operate successfully[141] - The Company is dependent on information technology and digital service providers, and any material failure could adversely affect its business[141]