DUBLIN, OH — Fast-food giant Wendy’s is preparing to close hundreds of underperforming locations nationwide, a move intended to strengthen the overall brand and reverse a recent decline in domestic sales.
During a quarterly earnings call on Friday, November 7, Interim CEO Ken Cook informed investors that the company would be shuttering a “mid single-digit percentage” of its approximately 6,000 U.S. restaurants. This strategic trim is estimated to impact roughly 240 to 360 locations, with one investor estimating the number at about 300 stores.
The closures are scheduled to begin in the fourth quarter of this year and will continue into 2026. A definitive list of affected locations has not been announced yet.
The decision follows a challenging period for the chain, which reported a 4.7% decrease in U.S. same-store sales (revenue from stores open for at least a year) and a 2.6% loss in global systemwide sales for the third quarter.
Cook framed the move as a necessary step to optimize the company’s network and increase profitability for its franchisees.
“When we look at the system today, we have some restaurants that do not elevate the brand and are a drag from a franchisee’s financial performance perspective,” Cook stated. “The goal is to address and fix those restaurants.”
The closures mark the second significant round of pruning in as many years, following the shuttering of 140 locations in 2024.
Closures as a Last Resort
While some locations will be permanently closed, the company noted that outright closure is not the only solution being considered for struggling stores. Wendy’s is also exploring alternatives, including:
- Operational Improvements: Enhancing equipment or implementing new technology.
- Operator Transfers: Moving struggling locations to new franchise owners deemed better suited to manage them.
Executives hope that by eliminating the poorest-performing stores, remaining locations will see a boost in sales and traffic. This strategy, part of a wider turnaround plan, shifts the company’s domestic focus from net unit growth to enhancing the performance of its existing footprint.
The news comes as the fast-food sector faces intense competition and rising labor and commodity costs, pressuring chains to emphasize value and efficiency.
https://www.wbiw.com/2025/11/11/wendys-plans-to-close-up-to-360-us-restaurants-amid-sales-slump/