Jack in the Box Inc. (NASDAQ: JACK) is a prominent player in the U.S. quick-service restaurant (QSR) industry, known for its diverse menu and 24/7 operating hours. The company was founded by Robert O. Peterson in 1951 in San Diego, California, where it still maintains its corporate headquarters. With a ...Jack in the Box Inc. (NASDAQ: JACK) is a prominent player in the U.S. quick-service restaurant (QSR) industry, known for its diverse menu and 24/7 operating hours. The company was founded by Robert O. Peterson in 1951 in San Diego, California, where it still maintains its corporate headquarters. With a network of approximately 2,200 Jack in the Box restaurants across 21 states and Guam, plus over 570 Del Taco locations, the company has a significant footprint in the QSR sector. The company operates on a mix of company-owned and franchised models, with a majority of its restaurants being franchised, which provides a steady stream of royalty and rental income. This franchise-heavy model reduces operational risk and capital expenditure requirements, allowing for more efficient growth. Financially, Jack in the Box has shown resilience in a competitive market, with a market capitalization of around $340.68 million and an enterprise value of $2.88 billion. The company's financial leverage is notable, with a debt-to-equity ratio of -2.831, indicating a high level of debt relative to equity, which is common in the restaurant industry due to real estate investments. The cost structure is influenced by food, labor, and occupancy costs, with a gross profit margin of 27.8%. Free cash flow has been positive but relatively low due to significant capital expenditures for maintenance and new store openings. The company's leadership is headed by CEO Mark King, who has extensive experience in the restaurant industry, including previous roles at Taco Bell and Yum! Brands. The company continues to innovate with menu items like the 'Secret Menu' and new product launches, aiming to attract a younger, 'brand-agnostic' customer base. Additionally, the company is committed to sustainability and community involvement. Despite economic challenges, Jack in the Box plans to continue expanding its franchise network and refurbishing existing locations, while maintaining a strong brand presence. With a loyal customer following and strategic growth initiatives, Jack in the Box strives to remain a top choice for fast-food enthusiasts.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$1.5B
-6.7%
+1.3%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-80.7M
-120.0%
+96.4%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+28.7%
-2.7%
+17.4%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-1.2%
-123.5%
+35.0%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-5.5%
-135.9%
+93.8%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$74.1M
+258.9%
+203.7%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+5.1%
+270.4%
+202.3%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
-332.8%
+11.0%
+2.7%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
0.51x
+22.6%
-10.9%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Thank you for standing by, and welcome to the Jack in the Box Third Quarter 2026 Earnings Call. [Operator Instructions] I would now like to turn the call over to Rachel Webb, Senior Vice President of Investor Relations. Rachel, please go ahead.
Rachel Webb: Thanks, operator, and good afternoon, everyone. We appreciate you joining today's conference call, highlighting results from our third quarter fiscal 2026. With me today are Interim Chief Executive Officer Mark King; and Chief Financial Officer Dawn Hooper. Following their prepared remarks, we will be happy to take questions from our covering sell-side analysts. Note that during both our discussion and Q&A, we may refer to non-GAAP items. Please refer to the non-GAAP reconciliation provided in the earnings release, which is available on our Investor Relations website at jackinthebox.com. We will also be making forward-looking statements based on current information and judgments that reflect management's outlook for the future. However, actual results may differ materially from these expectations because of business risks. We, therefore, consider the safe harbor statement in the earnings release and the cautionary statement in our most recent Form 10-K to be part of our discussion. Material risk factors, as well as information relating to company operations, are detailed in our most recent Form 10-K, 10-Q and other public documents filed with the SEC and are available on our Investor Relations website. And with that, I would like to turn the call over to our Interim Chief Executive Officer, Mark King.
Mark King: Thanks, Rachel, and good afternoon, everyone. Thank you for joining us. When I stepped into the interim CEO role just a few months ago, I said my first priority would be listening and learning. After spending meaningful time inside the business, I have greater clarity around where we need to focus to drive sustainable long-term growth. But we have a lot of work to do. I've met with almost all of our franchisees. We hosted a strategy summit with a few of our largest franchisees, and I attended the conference of our largest franchise organization just a few weeks ago, representing the majority of the system. I spent time meeting almost every employee throughout the corporate office. Most importantly, I've spent time in our restaurants, including working multiple shifts alongside of our teams. This gave me a first-hand view of both the operational challenges our teams face and the opportunity we have to improve execution. My restaurant shifts included one memorable attempt at cooking our tacos that I'm fairly certain won't end up earning me another invitation. Those experiences reinforce something important. While the business model can at times appear complex, at the end of the day, we exist to serve hot, flavorful food to our guests. That's it. When we stay focused on why we exist, our priorities become much clearer. Being in our restaurants and hearing directly from …