Jack in the Box plans 200–300 closures after 6.7% sales drop, adds matcha drinks
Jack in the Box posted a 6.7% decline in Q1 same-store sales and plans to close 200–300 underperforming restaurants under its Jack on Track debt-reduction plan. Concurrently, the chain rolled out two nationwide matcha beverages—the Matcha Iced Latte and Oreo Matcha Shake—to attract younger, health-conscious consumers.
1. Q1 Same-Store Sales Decline and Outlet Closures
Jack in the Box reported a 6.7% drop in same-store sales for the first quarter. To stabilize operations and pay down debt, the company plans to shutter 200–300 underperforming locations under its Jack on Track restructuring plan.
2. Introduction of Matcha Beverage Platform
The chain launched two matcha-based drinks nationwide: the Matcha Iced Latte featuring sweetened cream and vanilla over ice, and the Oreo Matcha Shake blended with Oreo crumbles and whipped topping. This initiative aims to expand flavor offerings and appeal to Millennials and Gen Z seeking healthier, trend-driven options.
3. Strategic Implications and Outlook
By combining menu innovation with aggressive cost-cutting, Jack in the Box seeks to reverse traffic declines and improve margins. Management views the matcha rollout as a growth driver while using closures to streamline operations and reduce leverage.