(RTTNews) -  Wednesday, Jack In The Box Inc., (JACK: News ) posted higher profit fourth quarter on improved operating margin, despite a decline in revenue. Looking ahead, the company provided guidance for the fiscal 2010.

The San Diego, California-based company reported net income of $40.6 million or $0.70 per share for the fourth quarter, higher than $26.9 million or $0.47 per share in the year ago period.

Income from continuing operations for the quarter rose to $40.6 million or $0.70 per share from $26.1 million or $0.45 per share in the year-ago quarter.

On average, 14 analysts polled by Thomson Reuters expected the company to earn $0.55 per share for the quarter. Analysts' estimates typically exclude one-time items.

Total revenues for the fourth quarter declined to $540.3 million from $582.7 million in the same quarter last year. Ten analysts expected revenues of $549.49 million for the quarter.

Same-store sales at the company restaurants decreased 6.0% compared to a 0.8% decline in the previous year quarter.

Consolidated restaurant operating margin improved to 15.8% from 13.6% in the year-ago quarter, reflecting a negative impact from Hurricane Ike of approximately 50 basis points.

The company estimates that sales deleverage negatively impacted margins by approximately 180 basis points in the fourth quarter.
Food and packaging costs for the quarter was $131.8 million, down from $163.6 million in the same quarter last year.

In the fourth quarter, income from operations increased to $66.7 million from $46.4 million in the year ago period. Net interest expense dropped to $4.0 million from $5.9 million in the same quarter last year.

The company gained $34.3 million from the sale of 96 company operated restaurants in the fourth quarter, compared to $23.1 million in the year-ago quarter from the sale of 41 restaurants.

Jack in the Box's as on September 27 comprises 2,212 company owned restaurants, 1,022 franchised locations, and 510 Qdoba restaurants, including 353 franchised locations. The company plans to open 45 to 50 new restaurants, including approximately 15 company locations for the fiscal 2010.

For the full year period, net income was $118.4 million or $2.05 per share compared to $119.2 million or $2.01 per share in the prior year. Revenue for the full year declined to $2.47 billion from $2.54 billion last year.

Analysts expected earnings of $2.12 per share on revenues of $2.48 billion.

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