JACK - Jack In The Box +4% after comparable sales shine margins expand

Jack in the Box (JACK) reports company systemwide sales rose 12.2% in FQ4 vs. +7.4% consensus and +3.0% a year ago. Company same-store sales were up 9.6%, with average check growth of 21.9% offsetting a transactions decrease of 12.3%. Adjusted EBITDA was reported at $274.2M vs. $269.0M a year ago. Restaurant-level margin improved by 280 basis points to 27.0% of sales vs. 23.7% consensus. Labor costs improved by 120 bps, due to sales leverage, which was partially offset by approximately 6 percent wage inflation. Food and packaging costs, as a percentage of company restaurant sales, decreased 100 bps driven by menu price increases and positive mix shift, which more than offset higher ingredient costs. Commodity costs increased 0.4 percent in the quarter as compared with the prior year. Lower maintenance and repairs expenses, partially offset by higher delivery fees, drove the 50 bp decrease in Occupancy and other versus a

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Jack In The Box +4% after comparable sales shine, margins expand