Company: JACK
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000807882-25-000043
Chunk: 35

Company: JACK IN THE BOX INC
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 1
Chunk 35
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 are marketing for sale.

4.FRANCHISE ACQUISITIONS

Franchise acquisitions — During the third quarter of 2025, the Company acquired 18 Del Taco franchise restaurants for $7.2 million, and recognized related goodwill of $6.3 million. During the first quarter of 2024, the Company acquired 9 Del Taco franchise restaurants for $86 thousand as part of two separate transactions, and recognized related gains of $2.4 million.The gains related to the 2024 acquisitions are recorded in “Other operating expenses, net” in the accompanying condensed consolidated statements of earnings (loss). The Company did not acquire any Jack in the Box or Del Taco franchise restaurants in the second or third quarters of 2024, nor in the first or second quarters of 2025. For further information, see Note 8, Other Operating Expenses, Net, in the notes to the condensed consolidated financial statements.

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JACK IN THE BOX INC. AND SUBSIDIARIESNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

The following table summarizes the number of restaurants acquired from franchisees and the gains recognized (dollars in thousands):QuarterYear-to-dateJuly 6,2025July 7,2024July 6,2025July 7,2024Restaurants acquired from Del Taco franchisees18 — 18 9 Purchase price (1)$7,193 $— $7,193 $86 Closing and acquisition costs— — — 43 Property and equipment(5,010)— (5,010)(3,612)Intangible assets(165)— (165)(167)Operating lease right-of-use assets(9,299)— (9,299)(3,211)Operating lease liabilities13,606 — 13,606 4,505 Goodwill recorded on franchise acquisitions$6,326 $— $6,326 $— Gain on the franchise acquisitions$— $— $— $(2,357)____________________________(1)Fiscal year 2024 amount is comprised of outstanding receivables from franchisee forgiven upon acquisition.We account for the acquisition of franchised restaurants using the acquisition method of accounting for business combinations. The purchase price allocations were based on fair value estimates determined using significant unobservable inputs (Level 3).

5.GOODWILL AND INTANGIBLE ASSETS, NET

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