Skip navigation
Jack-in-the-Box-q3-HOTC-Crave-prototype.jpg Jack in the Box Inc.
Jack in the Box opened one of its new Crave reimaged restaurants in Salt Lake City, Utah, during the third quarter.

Jack in the Box-Del Taco parent taps into late-night daypart

Return of Snoop Dogg Munchie Meal promotion signals return to expanded restaurant operating hours, CEO Darin Harris says

Jack in the Box Inc.’s continued improvements in staffing and the ensuing expansion of operating hours, as the pandemic pinches eased, helped boost sales and fuel promotions for the quick-service concept in the third quarter, executives said Wednesday.

The San Diego, Calif.-based quick-service company, which also owns the Del Taco Mexican brand and released earnings for the third quarter ended July 9, allowed Jack in the Box to “flex promotionally,” said Darin Harris, company CEO, in a call with analysts.

“We did just that to mark the 10-year anniversary of the original Munchie Meal,” Harris said. “We teamed up with [rap artist] Snoop Dogg to introduce the limited edition Snoop’s Munchie Meal in addition to the Build Your Own Munchie Meal.”

A Jack in the Box restaurant in Inglewood, Calif., also got “Snoopified” with a Dogg in the Box takeover from June 29 to July 2 in celebration of the partnership, Harris said.

“The promotion had some important signals related to our business and investor story,” Harris explained, “first that our restaurants are in much better shape related to staffing and hours and to the point where a national late-night activation such as this was even possible.

“Second, it helped those within our system that had yet to reopen late night to do so in a more rapid fashion,” Harris continued. “And, lastly, it enhanced our belief that Jack can truly own late night and while this collaboration was certainly a key sales and transactions driver it can also be seen as our first big opportunity since COVID to replant our flag into this all important daypart.”

Jack in the Box’s digital sales now approach 12%, up from 10.6% a year ago, Harris said.

During the quarter, Harris said, the Jack in the Box brand opened its first restaurant in the Salt Lake City, Utah, market. The conversion of a former competitor’s restaurant into the new Crave image yielded excellent sales results, Harris said.

“In fact in Salt Lake City the first month sales were 66% higher than the previous new-market record,” Harris said.

“We plan to open three additional Salt Lake City locations by end of fiscal year, including our second drive-thru only concept prototype in the U.S. and at least six in 2024, which will be a combination of company and franchise restaurants,” Harris said on the call. The first drive-thru-, off-premises-only restaurant opened last fall in Tulsa, Okla.

Jack in the Box on Wednesday also announced that Brian Scott had been named chief financial officer, effective Aug. 14. Scott most recently served as chief financial officer of ShiftKey, a platform designed to combat the national healthcare shortage, and earlier served as chief financial officer of TheKey, a private pay provider of home-care services.

Smith will succeed Dawn Hooper, interim chief financial officer. Hooper was promoted to senior vice president and controller in December 2022 and will become a new member of the executive leadership team.

Hooper, in the earnings call, said the company plans to refranchise more Del Taco restaurants than originally expected. “In Q3 through these first three quarters,” she said, “we have refranchised 66 Del Tacos, including 50 in the quarter alone, and now expect to refranchise between 90 and 120 restaurants this fiscal year.” The company had 594 Del Taco units at the end of the quarter.

For the third quarter ended July 9, Jack in the Box’s net earnings were $29.2 million, or $1.41 a share, up from $22.9 million, or $1.08 a share, in the prior-year period. Revenues were $396.9 million, down from $398.3 million.

Jack in the Box same-store sales were up 7.9% in the quarter. Del Taco same-store sales were up 1.7% in the quarter.

As of July 9, Jack in the Box had 2,191 restaurants across 21 states and Del Taco had 594 restaurants in 16 states.

Contact Ron Ruggless at [email protected]

Follow him on X: @RonRuggless

Hide comments


  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.