Financial Analysis

ASSETS HELD FOR SALE Assets held for sale Assets classified as held for sale consisted of the following at each fiscal year-end ( in thousands ): 2025 2024 Jack in the Box restaurant properties (1) $ 12,743 $ 14,567 Other property and equipment (2) 5,586 199 Del Taco restaurants to be refranchised: Property and equipment 1,318 Goodwill 409 Assets held for sale $ 18,329 $ 16,493 ________________________ (1) Consists of properties that are currently leased to franchisees which we intend to sell the underlying real estate directly to the franchisee and/or sell and leaseback with a third party. (2) Consists primarily of owned properties of closed restaurants which we are actively marketing for sale. …

BusinessCombinationDisclosureTextBlock · excerpt; the full note is in the filing

The following table disaggregates revenue by segment and primary source for the fiscal year ended September 28, 2025 (in thousands) : Jack in the Box Del Taco Total Company restaurant sales $ 416,716 $ 210,628 $ 627,344 Franchise rental revenues 332,735 35,908 368,643 Franchise royalties 189,646 32,372 222,018 Marketing fees 188,992 27,605 216,597 Technology and sourcing fees 17,208 2,702 19,910 Franchise fees and other services 8,670 2,132 10,802 Total revenue $ 1,153,967 $ 311,347 $ 1,465,314 The following table disaggregates revenue by segment and primary source for the fiscal year ended September 29, 2024 (in thousands) : Jack in the Box Del Taco Total Company restaurant sales $ 427,057 $ 281,978 $ 709,035 Franchise rental revenues 347,227 28,201 375,428 Franchise royalties 198,377 31,714 230,091 Marketing fees 197,900 26,258 224,158 Technology and sourcing fees 19,857 4,658 24,515 Franchise fees and other services 7,002 1,077 8,079 Total revenue $ 1,197,420 $ 373,886 $ 1,571,306 The following table disaggregates revenue by segment and primary source for the fiscal year ended October 1, 2023 (in thousands) : Jack in the Box Del Taco Total Company restaurant sales $ 413,748 $ 432,530 $ 846,278 Franchise rental revenues 351,283 13,308 364,591 Franchise royalties 207,064 25,669 232,733 Marketing fees 199,917 21,025 220,942 Technology and sourcing fees 16,073 3,907 19,980 Franchise fees and other services 7,226 556 7,782 Total revenue $ 1,195,311 $ 496,995 $ 1,692,306

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SHARE-BASED EMPLOYEE COMPENSATION Stock incentive plans We offer share-based compensation plans to attract, retain, and motivate key officers, employees, and non-employee directors to work toward the financial success of the Company. Our stock incentive plans are administered by the Compensation Committee of the Board of Directors and have been approved by the stockholders of the Company. The terms and conditions of our share-based awards are determined by the Compensation Committee for each award date and may include provisions for the exercise price, expirations, vesting, restriction on sales, and forfeitures, as applicable. We issue new shares to satisfy stock issuances under our stock incentive plans. Our Amended and Restated 2004 Stock Incentive Plan (Prior Plan) authorized the issuance of up to 11,600,000 common shares in connection with the granting of stock options, stock appreciation rights, restricted stock purchase rights, restricted stock bonuses, restricted stock units, or performance units to our employees and directors. As of January 1, 2023, no additional awards were granted under the Prior Plan. Our Jack in the Box Inc. 2023 Omnibus Incentive Plan (Plan) authorizes the issuance of up to 2,500,000 common shares plus Prior Plan returning shares in connection with outstanding awards as of January 6, 2023 that on or following such date are not issued, settled in cash, or fail to vest. The Plan is intended to help the Company secure and retain the services of elig …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

FAIR VALUE MEASUREMENTS Financial assets and liabilities The following table presents the financial assets and liabilities measured at fair value on a recurring basis ( in thousands ): Total Quoted Prices in Active Markets for Identical Assets (2) (Level 1) Significant Other Observable Inputs (2) (Level 2) Significant Unobservable Inputs (2) (Level 3) Fair value measurements as of September 28, 2025: Non-qualified deferred compensation plan (1) $ 18,326 $ 18,326 $ $ Total liabilities at fair value $ 18,326 $ 18,326 $ $ Fair value measurements as of September 29, 2024: Non-qualified deferred compensation plan (1) $ 18,481 $ 18,481 $ $ Total liabilities at fair value $ 18,481 $ 18,481 $ $ ________________________ (1) We maintain an unfunded defined contribution plan for key executives and other members of management. The fair value of this obligation is based on the closing market prices of the participants elected investments. The obligation is included in Accrued liabilities and Other long-term liabilities on our consolidated balance sheets. (2) We did not have any transfers in or out of Level 1, 2, or 3. The following table presents the carrying value and estimated fair value of our Class A-2 Notes as of September 28, 2025 and September 29, 2024 ( in thousands ): September 28, 2025 September 29, 2024 Carrying Amount Fair Value Carrying Amount Fair Value Series 2019 Class A-2 Notes $ 692,375 $ 675,500 $ 699,625 $ 684,875 Series 2022 Class A-2 Notes $ 1,023,000 $ 952,720 $ 1,0 …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

INCOME TAXES Income taxes consist of the following in each fiscal year ( in thousands ): 2025 2024 2023 Current: Federal $ 25,760 $ 32,251 $ 53,229 State 9,839 10,933 17,274 35,599 43,184 70,503 Deferred: Federal (42,744) (2,696) (10,642) State (14,961) (8,116) (1,347) (57,705) (10,812) (11,989) Income tax (benefit) expense from continuing operations $ (22,106) $ 32,372 $ 58,514 The expense (benefit) for income taxes differs from the amount computed by applying the U.S. federal statutory rate to pre-tax income (loss). The sources and tax effects of the differences are as follows (in thousands): 2025 2024 2023 Pre-tax (loss) income $ (102,825) $ (4,323) $ 189,340 Income tax at federal statutory rate (21,593) 21.0 % (908) 21.0 % 39,821 21.0 % State income taxes, net of federal benefit (5,450) 5.3 % (233) 5.4 % 10,587 5.6 % Stock-based compensation expense 1,568 (1.5) % 51 (1.2) % 71 % Tax credits, net of valuation allowance (334) 0.3 % (340) 7.9 % (818) (0.4) % Nondeductible goodwill related to impairment 6,602 (6.4) % 35,075 (811.5) % % Nondeductible goodwill related to the sale of company-operated restaurants 120 (0.1) % 1,787 (41.3) % 9,280 4.9 % State audit accrual (747) 0.7 % % % Benefit related to COLIs (2,271) 2.2 % (4,703) 108.8 % (1,947) (1.0) % Officers compensation limitation (333) 0.3 % 1,306 (30.2) % 1,188 0.6 % Other, net 332 (0.3) % 337 (7.8) % 332 0.2 % Effective tax rate $ (22,106) 21.5 % 32,372 (748.9) % 58,514 30.9 % The tax effects of temporary differences t …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

COMMITMENTS AND CONTINGENCIES Purchase commitments Jack in the Box and Del Taco have long-term food and beverage supply agreements with certain major vendors, which provide food and fountain drink products and marketing support funding to the Company and its franchisees. These agreements require minimum purchases by the Company and its franchisees at agreed upon prices until the total volume commitments have been reached. Based on current pricing and ratio of usage at company-operated to franchised restaurants as of September 28, 2025, total food and beverage purchase requirements under these agreements is estimated to be approximately $136.8 million over the next twelve years. We also have entered into various arrangements with vendors providing information technology services with no early termination fees. The Companys unconditional purchase obligations on these contracts total approximately $7.8 million over the next six years. Legal matters The Company assesses contingencies, including litigation contingencies, to determine the degree of probability and range of possible loss for potential accrual in our financial statements. An estimated loss contingency is accrued in the financial statements if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. As of September 28, 2025, the Company had accruals of $19.6 million for all of its legal matters in aggregate, presented within Accrued liabilities on our consolidated balan …

LegalMattersAndContingenciesTextBlock · excerpt; the full note is in the filing

LEASES Nature of leases We own restaurant sites and we also lease restaurant sites from third parties. Some of these owned or leased sites are leased and/or subleased to franchisees. Initial terms of our real estate leases are generally 20 years, exclusive of options to renew, which are generally exercisable at our sole discretion for 1 to 20 years. In some instances, our leases have provisions for contingent rentals based upon a percentage of defined revenues. Many of our restaurants also have rent escalation clauses and require the payment of property taxes, insurance, and maintenance costs. Variable lease costs include contingent rent, cost-of-living index adjustments, and payments for additional rent such as real estate taxes, insurance, and common area maintenance, which are excluded from the measurement of the lease liability. We also lease certain restaurant and office equipment with initial terms generally ranging from 3 to 8 years. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. As lessor, our leases and subleases primarily consist of restaurants that have been leased to franchisees subsequent to refranchising transactions. The lease descriptions, terms, variable lease payments and renewal options are generally the same as the lessee leases described above. Revenues from leasing arrangements with our franchisees are presented in Franchise rental revenues in the accompanying consolidated statements of earni …

LesseeOperatingLeasesTextBlock · excerpt; the full note is in the filing

INDEBTEDNESS The detail of our long-term debt at the end of each fiscal year is as follows ( in thousands ): September 28, 2025 September 29, 2024 Series 2019-1 4.476% Fixed Rate Class A-2-II Notes $ 262,625 $ 265,375 Series 2019-1 4.970% Fixed Rate Class A-2-III Notes 429,750 434,250 Series 2022-1 3.445% Fixed Rate Class A-2-I Notes 511,500 522,500 Series 2022-1 4.136% Fixed Rate Class A-2-II Notes 511,500 522,500 Series 2022-1 Variable Funding Notes, variable interest rate of 6.788% at September 28, 2025 6,000 Finance lease obligations and other debt 491 913 Total debt 1,715,866 1,751,538 Less current maturities of long-term debt (29,489) (35,880) Less unamortized debt issuance costs (11,890) (16,225) Long-term debt $ 1,674,487 $ 1,699,433 Securitization refinancing transaction Jack in the Box Funding, LLC (the Master Issuer), a limited-purpose, bankruptcy-remote, wholly owned indirect subsidiary of the Company is the master issuer of outstanding senior secured notes under a securitized financing facility that was entered into in July 2019. In February 2022, the Master Issuer completed a refinancing transaction and issued $550.0 million of its Series 2022-1 3.445% Fixed Rate Senior Secured Notes, Class A-2-I (the Class A-2-I Notes) and $550.0 million of its Series 2022-1 4.136% Fixed Rate Senior Secured Notes, Class A-2-II (the Class A-2-II and, together with the Class A-2-I Notes, the 2022 Notes). Interest payments on the 2022 Notes are payable on a quarterly basis. The An …

LongTermDebtTextBlock · excerpt; the full note is in the filing

Recent accounting pronouncements In November 2023, the FASB issued Accounting Standards Update (ASU) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosure , which updates reportable segment disclosure requirements. The ASU requires enhanced disclosures about significant segment expenses and information used to assess segment performance and is effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024 with early adoption permitted. The Company adopted this pronouncement in Form 10-K for fiscal year ended September 28, 2025. Refer to Note 10, Segment Reporting , for additional information. In December 2023, the FASB issued ASU 2023-09, I ncome Taxes (Topic 740): Improvements to Income Tax Disclosures , which requires disaggregated information about a reporting entitys effective tax rate reconciliation as well as information on income taxes paid. The guidance is effective for fiscal years beginning after December 15, 2024, with early adoption permitted, and should be applied on a prospective basis with the option to apply the standard retrospectively. The Company does not expect this pronouncement to have a significant impact. In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses . ASU 2024-03 requires public companies to disclose, …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

RETIREMENT PLANS We sponsor programs that provide retirement benefits to our employees. These programs include defined contribution plans, defined benefit pension plans, and postretirement healthcare plans. Defined contribution plans We maintain a qualified savings plan pursuant to Section 401(k) of the Internal Revenue Code (IRC) called the Jack in the Box Inc. Easy$aver Plus Plan. Previously, we also maintained the Del Taco Savings Plan which was merged into the Easy$aver Plus Plan effective January 1, 2024. The plan allows all employees who meet certain age and minimum service requirements to defer a percentage of their pay on a pre-tax basis. Our contributions under these plans were $3.4 million, $3.3 million, and $2.3 million in each fiscal years 2025, 2024 and 2023, respectively. We also maintain an unfunded, non-qualified deferred compensation plan for key executives and other members of management whose compensation deferrals or company matching contributions to the qualified savings plan are limited due to IRC rules. Effective January 1, 2016, this non-qualified plan was amended to replace the company matching contribution with an annual restoration match that is intended to restore up to the full match for participants whose elective deferrals (and related company matching contributions) to the qualified savings plan were limited due to IRC rules. A participants right to the Company restoration match vests immediately. This plan allows participants to defer up to 50 …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

REVENUE Nature of products and services We derive revenue from retail sales at Jack in the Box and Del Taco company-operated restaurants and rental revenue, royalties, advertising, and franchise and other fees from franchise-operated restaurants. Our franchise arrangements generally provide for an initial franchise fee per restaurant for a 20-year term, and generally require that franchisees pay royalty and marketing fees based upon a percentage of gross sales. The agreements also require franchisees to pay technology fees, as well as sourcing fees for Jack in the Box franchise agreements. Disaggregation of revenue The following table disaggregates revenue by segment and primary source for the fiscal year ended September 28, 2025 (in thousands) : Jack in the Box Del Taco Total Company restaurant sales $ 416,716 $ 210,628 $ 627,344 Franchise rental revenues 332,735 35,908 368,643 Franchise royalties 189,646 32,372 222,018 Marketing fees 188,992 27,605 216,597 Technology and sourcing fees 17,208 2,702 19,910 Franchise fees and other services 8,670 2,132 10,802 Total revenue $ 1,153,967 $ 311,347 $ 1,465,314 The following table disaggregates revenue by segment and primary source for the fiscal year ended September 29, 2024 (in thousands) : Jack in the Box Del Taco Total Company restaurant sales $ 427,057 $ 281,978 $ 709,035 Franchise rental revenues 347,227 28,201 375,428 Franchise royalties 198,377 31,714 230,091 Marketing fees 197,900 26,258 224,158 Technology and sourcing fee …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT REPORTING The Companys principal business consists of developing, operating and franchising our Jack in the Box and Del Taco restaurant brands, each of which is considered a reportable operating segment. Our chief operating decision maker (CODM) in 2025 is our Chief Executive Officer, Lance Tucker. Our segment reporting structure reflects the Companys current management structure, internal reporting method and financial information used in deciding how to allocate Company resources. Based upon certain quantitative thresholds, each operating segment is considered a reportable segment. The Company measures and evaluates our segments based on segment revenues and segment profit (loss). The CODM reviews segment profits and significant expense categories to assess performance, identify trends or changes, and determine the proper allocation of resources. The reportable segments do not include an allocation of the costs related to shared service functions, such as accounting/finance, human resources, audit services, legal, tax and treasury. These costs are reflected in the caption general and administrative and other unallocated below. Our measure of segment profit excludes general and administrative and other unallocated costs, depreciation and amortization, company-owned life insurance (COLI) gains/ losses, impairment of goodwill and intangible assets, other operating expense (income), net, and gains on the sale of company-operated restaurants. We do not evaluate, manage o …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

STOCKHOLDERS DEFICIT Repurchases of common stock In fiscal 2025, the Company purchased 0.1 million shares of its common stock for an aggregate cost of $5.0 million, including applicable excise tax. As of September 28, 2025, there was $175.0 million remaining amount under share repurchase programs authorized by the Board of Directors which do not expire. Dividends In fiscal 2025, the Board of Directors declared two cash dividends of $0.44, respectively, totaling $16.7 million. Future dividends are subject to approval by our Board of Directors. As previously announced, the Company has discontinued its dividend. Stockholder Rights Plan On July 1, 2025, the Board of Directors adopted a limited-duration stockholder rights plan and declared a dividend of one right (a Right) for each outstanding share of the Companys common stock held of record at the close of business on July 14, 2025. The Rights will generally become exercisable if a person or group acquires beneficial ownership of 12.5% or more of the outstanding shares of the Companys common stock, subject to certain exceptions (including an exception for existing persons who own in excess of such triggering percentage and do not acquire additional shares of the Companys common stock). If the Rights become exercisable, all holders of Rights (other than the triggering person or group) will be entitled to purchase shares of the Companys common stock at a 50% discount to the then-current market price or the Company may exchange eac …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

SUBSEQUENT EVENTS On October 15, 2025, the Company entered into a Stock Purchase Agreement (the Purchase Agreement) with Yadav Enterprises, Inc., a California corporation (Buyer) and Anil Yadav (Buyer Guarantor) to sell to Buyer all of the issued and outstanding equity interests of Del Taco Holdings Inc., a Delaware corporation (Del Taco), which owns and operates the Companys Del Taco restaurant operations, for an aggregate purchase price of $115.0 million in cash, subject to certain closing cash, working capital, debt and transaction expense adjustments. The Company anticipates closing the transaction in the first quarter of 2026, and will finalize the accounting upon its closing and anticipates recording a material loss on sale. …

SubsequentEventsTextBlock · excerpt; the full note is in the filing

COMMITMENTS AND CONTINGENCIES Legal matters The Company assesses contingencies, including litigation contingencies, to determine the degree of probability and range of possible loss for potential accrual in our financial statements. An estimated loss contingency is accrued in the financial statements if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. As of January 18, 2026, the Company had accruals of $17.9 million for all of its legal matters in aggregate, presented within Accrued liabilities on our condensed consolidated balance sheet. Because litigation is inherently unpredictable, assessing contingencies is highly subjective and requires judgments about future events. When evaluating litigation contingencies, we may be unable to provide a meaningful estimate due to a number of factors, including the procedural status of the matter in question, the availability of appellate remedies, insurance coverage related to the claim or claims in question, the presence of complex or novel legal theories, and the ongoing discovery and development of information important to the matter. In addition, damage amounts claimed in litigation against us may be unsupported, exaggerated, or unrelated to possible outcomes, and as such are not meaningful indicators of our potential liability or financial exposure. The Company regularly reviews contingencies to determine the adequacy of the accruals and related disclosures. The ultimate amo …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

INDEBTEDNESS Long-term debt obligations consist of the following ( in thousands ): January 18, 2026 September 28, 2025 Series 2019-1 Class A-2-II Notes $ 156,938 $ 262,625 Series 2019-1 Class A-2-III Notes 428,625 429,750 Series 2022-1 Class A-2-I Notes 508,750 511,500 Series 2022-1 Class A-2-II Notes 508,750 511,500 Finance lease obligations and other debt 122 208 Total debt 1,603,185 1,715,583 Less current maturities of long-term debt (28,270) (29,458) Less unamortized debt issuance costs (10,662) (11,890) Long-term debt $ 1,564,253 $ 1,674,235 The Anticipated Repayment Dates of the 2019-1 Class A-2-II Notes and the Class A-2-III Notes are August 2026 and August 2029, respectively, and the 2022-1 Class A-2-I Notes and the 2022-1 Class A-2-II Notes are February 2027 and February 2032, respectively. The legal final maturity date of the 2019 Notes and 2022 Notes is August 2049 and February 2052, respectively, but it is anticipated that, unless earlier prepaid to the extent permitted under the Indenture, the Notes will be repaid by the Anticipated Repayment Dates. If the Master Issuer has not repaid or refinanced the Notes prior to the respective Anticipated Repayment Dates, additional interest will accrue pursuant to the Indenture. On January 9, 2026, the Company prepaid $105.0 million of its existing Series 2019-1 Class A-2-II Notes. The repayment was made using proceeds from the Del Taco Sale and is in connection with the Companys ongoing prioritization of debt reduction as …

DebtDisclosureTextBlock · excerpt; the full note is in the filing

Disaggregation of revenue The following table disaggregates revenue by primary source (in thousands) : Sixteen Weeks Ended January 18, 2026 January 19, 2025 Company restaurant sales $ 131,907 $ 133,755 Franchise rental revenues 97,387 105,781 Franchise royalties 57,153 61,825 Marketing fees 56,610 61,461 Technology and sourcing fees 4,737 6,452 Franchise fees and other services 1,723 1,790 Total revenue $ 349,517 $ 371,064 …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

FAIR VALUE MEASUREMENTS Financial assets and liabilities The following table presents our financial assets and liabilities measured at fair value on a recurring basis ( in thousands ): Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fair value measurements as of January 18, 2026: Non-qualified deferred compensation plan (1) $ 18,438 $ 18,438 $ $ Total liabilities at fair value $ 18,438 $ 18,438 $ $ Fair value measurements as of September 28, 2025: Non-qualified deferred compensation plan (1) $ 18,326 $ 18,326 $ $ Total liabilities at fair value $ 18,326 $ 18,326 $ $ ____________________________ (1) The Company maintains an unfunded defined contribution plan for key executives and other members of management. The fair value of this obligation is based on the closing market prices of the participants elected investments. The obligation is included in Accrued liabilities and Other long-term liabilities on our condensed consolidated balance sheets. The Company did not have any transfers in or out of Level 1, 2 or 3 for its financial liabilities. The following table presents the carrying value and estimated fair value of our Class A-2 Notes as of January 18, 2026 and September 28, 2025 ( in thousands ): January 18, 2026 September 28, 2025 Carrying Amount Fair Value Carrying Amount Fair Value Series 2019 Class A-2 Notes $ 585,563 $ 560,173 $ 692,375 $ 675,500 Series 2022 Cla …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

INCOME TAXES For the first quarter of fiscal year 2026, the Company recorded an income tax expense of $6.9 million resulting in an effective tax rate of 32.4%. The effective tax rate for such period differed from the U.S. statutory tax rate primarily due to the establishment of a valuation allowance on cumulative interest deduction limitations from current and prior fiscal years and the nondeductible component of share-based compensation largely offset by a favorable state refund claim settlement. For the first quarter of fiscal year 2025, the Company recorded an income tax expense of $13.3 million, resulting in an effective tax rate of 30.0%. The effective tax rate for such period differed from the U.S. statutory tax rate primarily due to the nondeductible component of share-based compensation.

IncomeTaxDisclosureTextBlock

Recent accounting pronouncements In December 2023, the FASB issued ASU 2023-09, I ncome Taxes (Topic 740): Improvements to Income Tax Disclosures , which requires disaggregated information about a reporting entitys effective tax rate reconciliation as well as information on income taxes paid. The guidance is effective for fiscal years beginning after December 15, 2024, with early adoption permitted, and should be applied on a prospective basis with the option to apply the standard retrospectively. The Company will adopt this pronouncement on a prospective basis in its Form 10-K for fiscal year ended September 27, 2026, and does not expect this pronouncement to have a significant impact. In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses . ASU 2024-03 requires public companies to disclose, in the notes to financial statements, specified information about certain costs and expenses at each interim and annual reporting period. Additionally, companies will need to disclose the total amount of selling expenses and, in annual reporting periods, an entitys definition of selling expenses. This ASU is effective for annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Early adoption is permitted. ASU 2024-03 should be applied prospectively to financial statements issued f …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

OTHER OPERATING EXPENSES, NET Other operating expenses, net in the accompanying condensed consolidated statements of earnings (loss) is comprised of the following ( in thousands ): Sixteen Weeks Ended January 18, 2026 January 19, 2025 Restructuring, integration and other (1) $ 11,246 $ 1,332 Costs of closed restaurants (2) 2,633 176 Impairment charges (3) 353 622 Accelerated depreciation 89 (Gains) losses on disposition of property and equipment, net (4) (6,271) 417 Other operating expenses, net $ 8,050 $ 2,547 ____________________________ (1) Restructuring, integration and other includes proxy contest fees, restructuring that is not deemed discontinued operations, professional fees for a tax refund settlement, and other consulting fees for discrete project-based strategic initiatives. (2) Costs of closed restaurants includes ongoing costs associated with closed restaurants and cancelled project costs. (3) Impairment charges are related to underperforming restaurants. (4) In 2026, the amount is primarily related to the sale of real estate. …

RestructuringAndRelatedActivitiesDisclosureTextBlock · excerpt; the full note is in the filing

REVENUE Nature of products and services The Company derives revenue from retail sales at Jack in the Box company-operated restaurants and rental revenue, royalties, advertising, and franchise and other fees from franchise-operated restaurants. Our franchise arrangements generally provide for an initial franchise fee per restaurant for a 20-year term, and generally require that franchisees pay royalty and marketing fees based upon a percentage of gross sales. The agreements also require franchisees to pay technology fees, as well as sourcing fees. Disaggregation of revenue The following table disaggregates revenue by primary source (in thousands) : Sixteen Weeks Ended January 18, 2026 January 19, 2025 Company restaurant sales $ 131,907 $ 133,755 Franchise rental revenues 97,387 105,781 Franchise royalties 57,153 61,825 Marketing fees 56,610 61,461 Technology and sourcing fees 4,737 6,452 Franchise fees and other services 1,723 1,790 Total revenue $ 349,517 $ 371,064 Contract liabilities Contract liabilities consist of deferred revenue resulting from initial franchise and development fees received from franchisees for new restaurant openings or new franchise terms, which are recognized over the franchise term. The Company classifies these contract liabilities as Accrued liabilities and Other long-term liabilities in our condensed consolidated balance sheets. A summary of significant changes in contract liabilities is presented below (in thousands) : Sixteen Weeks Ended January …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

SEGMENT REPORTING The Companys principal business consists of developing, operating and franchising our Jack in the Box restaurant brands. Our chief operating decision maker (CODM) is our Chief Executive Officer, Lance Tucker. Following the sale of Del Taco in December 2025, the Company is considered to have only one reportable operating segment. The segment reporting structure reflects the Companys current management structure, internal reporting method and financial information used in deciding how to allocate Company resources. The Company measures and evaluates its segment based on segment revenues and segment profit. The reportable segment excludes certain general and administrative functions such as accounting/finance, human resources, legal, and certain unallocated costs such as share-based compensation. The Companys measure of segment profit also excludes the following items: depreciation and amortization, net gains (losses) on company-owned life insurance (COLI), net other operating expenses, net other pension and post-retirement expenses and net interest expense. The following table provides information related to our operating segments in each period ( in thousands ): Sixteen Weeks Ended January 18, 2026 January 19, 2025 Segment revenues $ 349,517 $ 371,064 Less: Food and packaging $ 39,232 $ 34,690 Payroll and employee benefits 46,577 44,528 Occupancy and other 24,801 23,540 Other segment expenses (1) 12,202 16,137 Franchise expenses 133,533 140,209 Segment profit …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

STOCKHOLDERS EQUITY AND REPURCHASES OF COMMON STOCK Repurchases of common stock The Company did not repurchase any shares of its common stock in the period ended January 18, 2026. As of January 18, 2026, there was $175.0 million remaining under share repurchase programs authorized by the Board of Directors which does not expire. Dividends Through January 18, 2026, the Board of Directors did not declare any cash dividends. Future dividends are discontinued and the Company will direct a majority of those funds toward debt reductions. Stockholder Rights Plan On July 1, 2025, the Board of Directors adopted a limited-duration stockholder rights plan and declared a dividend of one right (a Right) for each outstanding share of the Companys common stock held of record at the close of business on July 14, 2025. The Rights will generally become exercisable if a person or group acquires beneficial ownership of 12.5% or more of the outstanding shares of the Companys common stock, subject to certain exceptions (including an exception for existing persons who own in excess of such triggering percentage and do not acquire additional shares of the Companys common stock). If the Rights become exercisable, all holders of Rights (other than the triggering person or group) will be entitled to purchase shares of the Companys common stock at a 50% discount to the then-current market price or the Company may exchange each Right held by such holders for one share of the Companys common stock. The te …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing