Jack in the Box plans to close over 150 locations to reduce debt and streamline operations
From Yahoo Finance: 2025-04-24 18:12:00
Jack in the Box plans to close 150-200 locations to improve finances amid inflation and labor costs. The “Jack on Track” plan aims to pay down debt and streamline operations. The company may divest from Del Taco. Red Lobster and other chains have also faced closures due to reduced consumer spending.
Between 80-120 Jack in the Box restaurants will close by the end of 2025. The majority of the 200 total closures have been open for over 30 years. CEO Lance Tucker aims for a simplified business model and increased shareholder returns. The company plans to reduce debt through real estate sales and cut new restaurant development spending.
In the second fiscal quarter, Jack in the Box opened 5 locations and closed 12. Same-store sales were down 4.4%, with net income at $33.7 million. The chain operates 2,200 locations primarily on the West Coast. The first Jack in the Box opened in San Diego in 1951, with over 40 locations in Los Angeles.
Read more: San Diego-based fast food chain Jack in the Box to close more than 150 locations