table_specific

What was the reported Del Taco segment profit in 2022?

Del_Taco Franchise · 2025 FDD

Answer from 2025 FDD Document

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

The following table provides information related to our operating segments in each period (in thousands):

2024 2023 2022
Revenues by segment:
Jack in the Box restaurant operations $ 1,197,420 $ 1,195,311 $ 1,151,188
Del Taco restaurant operations 373,886 496,995 316,895
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 profit 28,968 45,730 62,353
Shared services (77,138) (87,862) (107,730)
$ 314,207 $ 339,039 $ 338,417
Depreciation and amortization 59,776 62,287 56,100
Acquisition, integration and strategic initiatives 15,631 9,112 20,081
Share-based compensation 13,471 11,205 7,122
Net COLI (gains) losses (14,390) (5,953) 9,911
Goodwill impairment 162,624
Gains on the sale of company-operated restaurants (3,255) (17,998) (3,878)
Gains on acquisition

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 58)

What This Means (2025 FDD)

According to Del Taco's 2025 Franchise Disclosure Document, the Del Taco segment profit for 2022 was $62,353. This figure is part of the segment profit reconciliation, which also includes data for Jack in the Box segment profit and shared services. This profit reflects the financial performance of the Del Taco brand as a segment of the overall company.

Segment profit is a key indicator of the financial health and operational efficiency of the Del Taco business. It represents the earnings specifically attributable to the Del Taco segment, without factoring in shared services or other corporate-level expenses. For a prospective franchisee, this number provides insight into the profitability of the Del Taco brand relative to its revenue.

It's important to note that segment profit can be influenced by various factors, including revenue, cost of goods sold, operating expenses, and market conditions. Additionally, the FDD includes a note that the company utilizes a shared-services model, and the brand's results of operations are assessed separately and do not include costs related to certain corporate functions which support both brands. Reviewing trends in segment profit over multiple years, as presented in the table, can offer a more comprehensive understanding of the brand's financial trajectory.

Prospective franchisees should consider this segment profit in conjunction with other financial data provided in the FDD, such as revenue, expenses, and capital expenditure requirements, to assess the overall investment opportunity and potential return on investment. Additionally, it is advisable to discuss the factors contributing to the segment profit with the franchisor to gain a deeper understanding of the brand's financial dynamics.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.