Jack in the Box (JACK) Q3 2026 earnings summary

Executive summary

• Leadership is focused on sustainable long-term growth through operational improvements, franchisee engagement, and customer-centric strategies.

• Five key priorities: customer focus, quality, restaurant experience, operational simplicity, and franchisee profitability, all aimed at consistent same-store sales growth.

• Completed the sale of Del Taco in December 2025, resulting in discontinued operations classification for Del Taco results and a $47.4 million loss on sale year-to-date 2026.

• Company now operates a single reportable segment focused on Jack in the Box restaurants, with 2,115 locations as of July 5, 2026.

• JACK on Track initiative is progressing, with refinancing completed and ongoing efforts to improve financial health and operational execution.

Financial highlights

• Q3 same-store sales decreased 1.1% year-over-year, with franchise locations down 1.2% and company-owned down 0.9%.

• Total revenues for the quarter were $257.7 million, down from $262.4 million year-over-year; year-to-date revenues were $861.4 million, down from $899.2 million.

• Restaurant-level margin was 17.6% (Q3 2026) vs. 17.9% (Q3 2025), impacted by commodity inflation and sales deleverage.

• Franchise-level margin was $60.3 million (37.4% of franchise revenues), down from $66.2 million (39.3%) a year ago.

• GAAP diluted EPS from continuing operations was $1.08, down from $1.19; adjusted EBITDA rose to $61.2 million from $57.1 million.

Outlook and guidance

• Q4 to date, same-store sales are positive in the low single-digit range, driven by a balanced promotional calendar.

• FY2026 guidance: restaurant count ~2,100, restaurant-level margin ~16.5%, franchise-level margin ~$265 million, SG&A $112–$115 million, adjusted EBITDA $225–$230 million.

• Elevated restaurant closures expected to continue into 2027 and possibly 2028.

• Management expects cash flows from operations and available credit to be sufficient for capital expenditures, working capital, and debt service for at least the next twelve months.

• Low single-digit same-store sales decline anticipated for fiscal 2026.