On May 12th Jack in the Box (JACK), reported on the 2nd quarter of fiscal 2021 ending April 11th. For the period, net profit increased by 213 percent compared to the corresponding quarter in FY 2020 to $35.9 million. Revenue increased by 18.9 percent to $257,217 million. Diluted EPS increased by 216 percent to $1.58.
Same-store sales for Company units increased by 14.5 percent attained through a 19.9 percent increase in transaction value despite a 5.4 percent decrease in visits. Franchisee stores posted a 21.3 percent increase in sales.
In commenting on results, Darin Harris, CEO, stated, "consumers continue to embrace the Jack in the Box iconic all-day menu and continuous menu innovations, driving growth across every day-part. A shift toward our core premium entrees, combined with an increase in items per order reflecting larger parties, fueled a nearly-20 percent increase in average check. Our performance was strong across all regions throughout the quarter, including in Texas where pandemic dine-in restrictions were lifted much earlier than in our other large markets. Stimulus payments also contributed to our strong performance during the last four weeks of the quarter." Harris concluded, “We are off to a good start through the first four weeks of the third quarter, giving us confidence that our key strategies continue to resonate with guests and position us to maintain momentum while we work closely with our franchisees to grow.”
JACK has a market capitalization of $2.54 billion. The company has traded over the past 52-weeks in a range of $61.00 to $124.53 with a 50-day moving average of $116.34. On a twelve-month trailing basis, the company posted an operating margin of 25.1 percent and a profit margin of 14.4 percent. The company achieved a return on assets of 9.4 percent.