Jack in the Box shares up 7% after revenue, earnings beat
Jack in the Box Inc. shares rose more than 7% late Wednesday after the fast-food chain reported better-than-expected fiscal second-quarter earnings. Jack in the Box said it earned $29 million, or 85 cents a share, in the quarter, compared with $23 million, or 61 cents a share, in the year-ago period. Adjusted per-share earnings were also 85 cents a share, compared with 69 cents a share in the fiscal second quarter of 2015. Sales reached $361 million in the quarter, up from $358 million a year ago. Analysts polled by FactSet had expected the fast-food chain to report adjusted earnings of 70 cents a share on sales on $360 million. Better margins and cost controls were key reasons for the better-than-expected earnings, the company said in a statement. Same-store sales at Jack's Qdoba restaurants rose 2% thanks to more traffic, fewer labor costs, and better margins as compared to the first quarter, the company said. Jack in the Box same-store sales were flat for the quarter. Jack in the Box shares had ended the regular trading session down 5.2%.
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