Company: JACK
Filing Date: 2025-02-25
Form Type: 10-Q
Source: 0000807882-25-000016
Chunk: 42

Company: JACK IN THE BOX INC
Filing Date: 2025-02-25
Form: 10-Q
Item: Item 1
Chunk 42
---
 in the quarter compared to a year ago. The following table summarizes the change versus a year ago:

Sixteen Weeks EndedJanuary 19,2025Average check (1)3.5 %Transactions(3.9 %)Change in same-store sales(0.4 %)

____________________________

(1)Includes price increases of approximately 5.1% in the quarter.

Food and packaging costs, as a percentage of company restaurant sales, decreased 3.8% compared to the prior year due mainly to a 3.4% benefit from a new beverage contract with funding retroactive to January 1, 2024, the majority of which is non-recurring, as well as menu price increases, partially offset by commodity inflation and unfavorable menu item mix. Commodity inflation was 2.8% in the quarter, with the greatest impacts in beef and beverages.

Payroll and employee benefit costs, as a percentage of company restaurant sales, increased 2.5% compared to the prior year. During the quarter, increases in wage inflation, were partially offset by a decrease in incentive compensation due to lower achievement levels compared to the prior year. Labor inflation was approximately 14.7% in the quarter primarily due to the wage increases required in California effective April 1, 2024 under AB 1228.

Occupancy and other costs, as a percentage of company restaurant sales, increased 1.2% compared to a year ago primarily due to higher rent and other operating costs including delivery fees.

Jack in the Box Franchise Operations

The following table presents franchise revenues and costs in each period and other information we believe is useful in analyzing the change in franchise operating results (dollars in thousands):

Sixteen Weeks EndedJanuary 19,2025January 21,2024Franchise rental revenues$105,781$105,578Royalties61,82561,323Franchise fees and other1,7902,020Franchise royalties and other63,61563,343Franchise contributions for advertising and other services67,91367,362Total franchise revenues$237,309$236,283Franchise occupancy expenses $67,916$65,188Franchise support and other costs3,3013,747Franchise advertising and other services expenses68,99269,893Total franchise costs$140,209$138,828Franchise costs as a percentage of total franchise revenues59.1%58.8%Average number of franchise restaurants2,0322,037% increase(0