One Of America's Biggest Fast Food Chains Is Closing Hundreds Of Restaurants
Fast food chains across the U.S. are facing challenges, whether due to consumers opting for healthier alternatives or rising meal costs. This difficult period has particularly impacted some of the country's most famous eateries.
This year saw a wave of closures and downturns, with Jack-in-the-Box and Starbucks shutting hundreds of stores, while KFC, Del Taco, and Pizza Hut reported sales declines. The fast food industry is still recovering from a harsh 2024 when many sit-down restaurant chains went bankrupt within months of each other.
Wendy's Announces Restaurant Closures
Wendy's recently joined the list of chains reducing their footprint. Ken Cook, the interim CEO, revealed during the company's Q3 earnings call that the chain plans to close a "mid single-digit percentage" of its total locations, as reported by CNN.
- At the end of 2024, Wendy's operated just over 5,900 U.S. stores.
- This suggests approximately 300 locations could be shutting down soon.
- Last year, the chain closed 140 sites, marking a smaller reduction.
Future Plans and Outlook
Cook remains optimistic about Wendy's overall health but acknowledges that a smaller number of underperforming stores have been dragging down the brand.
The company is also focusing on renovating existing stores and introducing new technology to boost sales in these weaker locations.
"Wendy's is looking to close a mid single-digit percentage of its total stores." — Ken Cook, interim CEO
Author's summary: Wendy's plans to close around 300 underperforming restaurants to focus on renovation and tech upgrades, reflecting broader challenges in the fast food industry.