Estimated to grow by 1.6% percent, Jack in the Box Inc. reported its system-wide same-store sales have increased by 2.7% during its recently ended third quarter.
“Our greater emphasis on bundled value in the third quarter resulted in a substantial improvement in both traffic and sales trends while also driving check and maintaining strong restaurant margins,” said Lenny Comma, Jack in the Box’s chairman and CEO, in a statement issued Aug. 7.
“Our guests have responded favorably to the breadth of our promotions, which leverage our strategy around compelling value bundles, including both new product innovation as well as guest favorites, without devaluing our core menu items. This momentum has accelerated thus far into our fourth quarter.”
Comma made his comments as Jack in the Box (Nasdaq: JACK) announced its third quarter earnings.
The corporation reported revenue of $222.4 million in the 12 weeks ended July 7, compared to $188 million in the 12 weeks ended July 8, 2018.
Net earnings were $13.2 million in the recently ended quarter. In the year-ago quarter, net earnings were $45.3 million.
Comma also said the company has reached its targeted leverage ratio of approximately 5.0 EBITDA, or earnings before interest, taxes, depreciation and amortization.
“We remain firmly committed to returning cash to shareholders,” he said, “and now have $301 million available for share repurchases.”
Travel & hospitality reporter Mariel Concepcion can be reached at firstname.lastname@example.org or 858-634-4625.