Segment Reporting

6 Months Ended

Apr. 10, 2016

Segment Reporting [Abstract]

Segment Reporting

SEGMENT REPORTING

Our principal business consists of developing, operating and franchising our Jack in the Box and Qdoba restaurant concepts, each of which we consider reportable operating segments. This segment reporting structure reflects our current management structure, internal reporting method and financial information used in deciding how to allocate our resources. Based upon certain quantitative thresholds, each operating segment is considered a reportable segment.

We measure and evaluate our segments based on segment revenues and earnings from operations. 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; nor do they include unallocated costs such as pension expense and share-based compensation. These costs are reflected in the caption “Shared services and unallocated costs.” The following table provides information related to our operating segments in each period (in thousands):

	Quarter						Year-to-date
	April 10, 2016			April 12, 2015			April 10, 2016			April 12, 2015
Revenues by segment:
Jack in the Box restaurant operations	$	264,062		$	269,444		$	611,645		$	621,395
Qdoba restaurant operations	97,089			88,678			220,329			205,348
Consolidated revenues	$	361,151		$	358,122		$	831,974		$	826,743
Earnings from operations by segment:
Jack in the Box restaurant operations	$	63,146		$	64,313		$	148,836		$	145,168
Qdoba restaurant operations	10,623			8,778			19,360			23,460
Shared services and unallocated costs	(20,980		)	(26,203		)	(53,711		)	(59,354		)
(Losses) gains on the sale of company-operated restaurants	(3		)	(5,020		)	815			(4,170		)
Consolidated earnings from operations	52,786			41,868			115,300			105,104
Interest expense, net	6,911			4,220			15,086			9,433
Consolidated earnings from continuing operations and before income taxes	$	45,875		$	37,648		$	100,214		$	95,671
Total depreciation expense by segment:
Jack in the Box restaurant operations	$	15,059		$	14,699		$	35,532		$	34,314
Qdoba restaurant operations	4,279			4,035			9,867			9,315
Shared services and unallocated costs	1,310			1,612			3,535			3,872
Consolidated depreciation expense	$	20,648		$	20,346		$	48,934		$	47,501

We do not evaluate, manage or measure performance of segments using asset, interest income and expense, or income tax information; accordingly, this information by segment is not prepared or disclosed.

The following table provides detail of the change in the balance of goodwill for each of our reportable segments (in thousands):

	Jack in the Box			Qdoba		Total
Balance at September 27, 2015	$	48,430		$	100,597	$	149,027
Disposals	(15		)	—		(15		)
Balance at April 10, 2016	$	48,415		$	100,597	$	149,012

Refer to Note 3, Summary of Refranchisings, Franchisee Development and Acquisitions, for information regarding the transactions resulting in the changes in goodwill.