Jack in the Box Income Drops to $11.6MFriday, August 10, 2012
Jack in the Box Inc. reported fiscal 2012 third quarter net income of $11.6 million, down from $18.7 million in the like quarter of 2011.
The company said it booked an $11 million restructuring charge in the past quarter related to outsourcing of its distribution operations and staff reductions through early retirements.
Revenue for the quarter ended July 8 was $501.8 million, compared with $519.3 million in the like quarter of last year.
Year to date revenue was $1.66 million, down from $1.69 million in the like period of 2011.
Chairman and CEO Linda Lang noted that same store sales increased 3.4 percent in the quarter, driven by a combination of traffic growth and an increase in average checks. She said the trend is improving four weeks into the fourth quarter, and reflects investments the company made previously.
For the 2012 fiscal year that ends in September, the company forecast same store sales should rise 4 to 4.5 percent at company owned restaurants.
For the full year, Jack in the Box said it expects its net income per share, excluding restructuring charges, to finish in a range of $1.48 to $1.58. In May it forecast per share earnings of $1.28 to $1.50.
At the end of the third quarter, there were 2,247 Jack in the Box restaurants and 614 Qdoba restaurants in 20 states.
Shares of the company, traded under JACK on Nasdaq, closed down 4 cents on Aug. 9, and have ranged form $18.25 to $28.44 over the past 52 weeks.