Jack In The Box 2025 Q3 Earnings Strong Performance as Net Income Surges 118%

Jack In The Box Inc. (JACK) reported its fiscal 2025 Q3 earnings on August 7, 2025, delivering a significant turnaround in profitability. The company returned to positive earnings with a net income of $22.03 million, a 118.0% improvement from the net loss of $122.30 million in the prior-year quarter. While revenue declined 9.8% year-over-year, the earnings performance exceeded expectations, and the CEO remains optimistic about future execution.

Revenue
Total revenue for Jack In The Box declined by 9.8% year-over-year to $332.99 million in the third quarter of 2025. Company restaurant sales contributed the largest portion of the revenue at $140.93 million, followed closely by franchise rental revenues of $85.13 million. Franchise royalties and marketing fees added $50.55 million and $49.48 million, respectively. Additional revenue streams, including technology and sourcing fees of $4.68 million and franchise fees and other services of $2.22 million, also supported the company’s overall top-line results.

Earnings/Net Income
Jack In The Box returned to profitability with EPS of $1.16 in the third quarter of 2025, reversing a loss of $6.29 per share in the prior-year period, representing a 118.4% positive change. The company's net income surged to $22.03 million, compared to a net loss of $122.30 million in the same quarter of 2024. The significant turnaround underscores the company’s operational resilience and continued focus on long-term value creation.

Price Action
Following the earnings report, Jack In The Box’s stock price edged up 2.36% during the latest trading day, but it has declined 5.43% over the past week and 13.15% month-to-date, reflecting mixed investor sentiment.

Post Earnings Price Action Review
The post-earnings performance of Jack In The Box has been mixed, with a historical strategy of buying shares following a revenue increase and holding for 30 days proving to be significantly underperforming. This approach yielded a return of -76.31% over the past three years, compared to a benchmark return of 48.58%. The resulting excess return of -124.90% and a CAGR of -39.17% highlight the strategy's poor performance. Additionally, the strategy experienced a maximum drawdown of 0.00%, and a Sharpe ratio of -0.89 indicates high risk and negative relative returns.

CEO Commentary
CEO Lance Tucker expressed confidence in the company’s ability to regain momentum in the fourth quarter and into the next fiscal year. He highlighted a renewed focus on innovation, craveable value offerings, and improved guest experiences. Tucker also emphasized progress on the “JACK on Track” plan, aimed at simplifying the business model and delivering sustainable long-term growth. While the macroeconomic environment remains challenging, the tone from leadership reflects cautious optimism and a clear strategic direction.

Guidance
While the company did not provide specific quantitative guidance for future earnings, revenue, or same-store sales, it remains committed to executing the "JACK on Track" plan. The leadership team is focused on driving operational improvements and enhancing shareholder value through strategic simplification and customer-centric initiatives.

Additional News
In the three weeks following the earnings release on August 7, 2025, Jack In The Box Inc. did not announce any major M&A activity, C-level executive changes, or dividend or share buyback initiatives. The official website and investor relations pages remained focused on the third-quarter earnings report, with no non-earnings-related news items highlighted in the "Careers," "Contact Us," or "Investor Menu" sections.