This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Jack In The Box Inc. Reports Fourth Quarter FY 2012 Earnings; Issues Guidance For FY 2013; Updates Long-term Goals

Occupancy and other costs increased 30 basis points in the fourth quarter due primarily to higher utilities and repairs and maintenance costs, higher debit card fees and higher depreciation expense related to the Jack in the Box re-image program. These increases were partially offset by leverage from same-store sales increases, the benefits of refranchising Jack in the Box restaurants, and the favorable impact of recent acquisitions of Qdoba franchised restaurants.

SG&A expense for the fourth quarter increased by $0.6 million and was 15.2 percent of revenues as compared to 14.6 percent in the prior year quarter. The increase in SG&A was attributable primarily to higher incentive compensation accruals, increased G&A related to Qdoba growth, and higher pension and pre-opening costs which were partially offset by lower advertising and overhead costs resulting from the company’s refranchising strategy. Mark-to-market adjustments on investments supporting the company’s non-qualified retirement plans positively impacted SG&A by $2.0 million in the fourth quarter of 2012 as compared to a negative impact of $4.5 million in the fourth quarter of 2011.

Gains on the sale of 42 company-operated Jack in the Box restaurants to franchisees totaled $10.2 million in the fourth quarter, or approximately $0.16 per diluted share, compared with $22.2 million, or approximately $0.30 per diluted share in the year-ago quarter from the sale of 106 restaurants. For fiscal 2012, gains on the sale of 97 company-operated restaurants to franchisees totaled $29.1 million, or approximately $0.44 per diluted share, compared with $61.1 million, or approximately $0.78 per diluted share in fiscal 2011 from the sale of 332 company-operated restaurants. Total proceeds related to refranchising for the fourth quarter and fiscal 2012 were $19.1 million and $48.3 million, respectively.

The tax rate for fiscal 2012 was 32.7 percent versus 36.3 percent for fiscal 2011. The tax rate for fiscal 2012 was lower than the company’s most recent guidance due primarily to the market performance of insurance investment products used to fund certain non-qualified retirement plans. Changes in the cash value of the insurance products are not deductible or taxable.

4 of 9

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,867.61 +147.69 0.83%
S&P 500 2,096.67 +16.26 0.78%
NASDAQ 5,145.4410 +36.7750 0.72%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs