Company: JACK
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000807882-25-000043
Chunk: 58

Company: JACK IN THE BOX INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 1
Chunk 58
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 increased $0.7 million, or 9.3%, in the quarter and $1.8 million, or 7.1% year-to-date, compared to the prior year primarily due to higher franchise restaurant sales resulting from refranchising.

Franchise contributions for advertising and other services revenues increased $0.2 million, or 2.3%, in the quarter and was essentially flat year-to-date compared to the prior year primarily due to increased franchise marketing contributions resulting from the 47 restaurants refranchised since the third quarter of 2024, partially offset by lower IT support revenue.

Franchise occupancy expenses, primarily rent, increased $1.5 million, or 20.9%, in the quarter and $7.1 million, or 34.4% year-to-date, compared to the prior year primarily due to higher operating lease costs in the current year from refranchising.

Franchise support and other costs increased $0.5 million, or 56.5%, in the quarter and $1.6 million, or 45.5% year-to-date compared to the prior year primarily due to higher bad debt expense.

Franchise advertising and other service expenses decreased $0.2 million, or 2.4%, in the quarter and $0.3 million, or 1.3% year-to-date, compared to the prior year. For both the quarter and year-to-date periods, decreases in IT costs were partially offset by increases in marketing expense resulting from the 47 restaurants refranchised since the third quarter of 2024. For the year-to-date period, a decrease in equipment sales to franchisees also contributed to the decrease.

Company-Wide Results 

Depreciation and Amortization

Depreciation and amortization for the quarter ended July 6, 2025 decreased $1.0 million in the quarter and $2.9 million year-to-date compared to the prior year period primarily due to the 47 Del Taco restaurants refranchised since a year ago, as well as certain Jack in the Box franchise assets becoming fully depreciated. These decreases were partially offset by increases for new technology assets and new company operated restaurants.

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Selling, General and Administrative (“SG&A”) Expenses

The following table presents the amounts for SG&A expenses in each period (in thousands):

QuarterYear-to-dateJuly 6,2025July 7,2024July 6,2025July 7,2024Advertising$7,398 $8,