Jack in the Box Details Closures, Del Taco Sale Plan

Jack in the Box, under new CEO Lance Tucker, has announced a major restructuring called 'JACK on Track' that will close 150 to 200 underperforming restaurants—most operating for over 30 years—by 2026 through a 'block closure program.' The company, with about 2,200 locations across 22 states, is also considering the sale of its Del Taco brand, acquired three years ago, as part of its strategy to address declining sales and rising debt. Preliminary second quarter 2025 results show same-store sales fell 4.4% at Jack in the Box and 3.6% at Del Taco, prompting the suspension of financial guidance for Del Taco while Bank of America Securities explores strategic options. The restructuring aims to simplify operations, accelerate cash flow, and strengthen the balance sheet by shifting to an asset-light model. Jack in the Box has suspended its dividend, and its stock has lost over half its value in the past year amid industry headwinds. Despite closures, the company still plans to open new restaurants in 2025, prioritizing efficiency and sustainable growth.