Shares of Jack in the Box Inc. (JACK) slipped 0.6% in premarket trading Wednesday, after the fast-food burger chain reported second-quarter profit that missed expectations but revenue and same-store sales that beat, as traffic declines were partially offset by a higher average check, due mostly to higher pricing. Net income fell to $22.9 million, or $1.08 a share, from $40.0 million, or $1.79 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $1.38 missed the FactSet consensus of $1.45. Revenue jumped 47.8% to $398.3 million, above the FactSet consensus of 383.4 million, as same-store sales declined 0.6% but beat expectations for a 1.6% drop. Sales for the company's Del Taco restaurant chain rose 3.3%, and same-store sales increased 3.5%. Restaurant-level margin fell to 15.8% from 25.4%, due to increases in food and packaging costs, wage inflation of 13.2% and higher utilities and maintenance costs, partially offset by menu price increases. The stock has lost 9.4% over the past three months through Tuesday, while the S&P 500 has gained 3.0%.
(END) Dow Jones Newswires
August 10, 2022 08:46 ET (12:46 GMT)
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