v3.24.3
Segment Reporting
 12 Months Ended
Sep. 29, 2024
Segment Reporting [Abstract]  
Segment Reporting SEGMENT REPORTING
The Company’s principal business consists of developing, operating and franchising our Jack in the Box and Del Taco restaurant brands, each of which is considered a reportable operating segment. In 2024, our chief operating decision maker revised the method by which they determine performance and strategy for our segments. This change was made to reflect a shared-services model whereby each brand’s results of operations are assessed separately and do not include costs related to certain corporate functions which support both brands. This segment reporting structure reflects the Company’s current management structure, internal reporting method and financial information used in deciding how to allocate Company resources. Based upon certain quantitative thresholds, each operating segment is considered a reportable segment. This change to our segment reporting did not change our reporting units for goodwill.
The Company measures and evaluates our segments based on segment revenues and segment profit. The reportable segments do not include an allocation of the costs related to shared service functions, such as accounting/finance, human resources, audit services, legal, tax and treasury. These costs are reflected in the caption “Shared services” below.
Our measure of segment profit excludes depreciation and amortization, share-based compensation, company-owned life insurance (“COLI”) gains/ losses, net of changes in our non-qualified deferred compensation obligation supported by these policies, acquisition, integration, and strategic initiatives, gains on the sale of company-operated restaurants, gains on acquisition of restaurants, and amortization of favorable and unfavorable leases and subleases, net.
The following table provides information related to our operating segments in each period (in thousands):
202420232022
Revenues by segment:
Jack in the Box restaurant operations$1,197,420 $1,195,311 $1,151,188 
Del Taco restaurant operations373,886 496,995 316,895 
Consolidated revenues$1,571,306 $1,692,306 $1,468,083 
Segment profit reconciliation:
Jack in the Box segment profit$362,377 $381,171 $383,794 
Del Taco segment profit28,968 45,730 62,353 
Shared services(77,138)(87,862)(107,730)
$314,207 $339,039 $338,417 
Depreciation and amortization59,776 62,287 56,100 
Acquisition, integration and strategic initiatives15,631 9,112 20,081 
Share-based compensation13,471 11,205 7,122 
Net COLI (gains) losses(14,390)(5,953)9,911 
Goodwill impairment162,624 — — 
Gains on the sale of company-operated restaurants(3,255)(17,998)(3,878)
Gains on acquisition of restaurants(2,702)— (309)
Amortization of favorable and unfavorable leases and subleases, net516 1,633 1,120 
Earnings from operations$82,536 $278,753 $248,270 
We do not evaluate, manage or measure performance of segments using asset, pension or post-retirement expense, interest income and expense, or income tax information; accordingly, this information by segment is not prepared or disclosed.