Wendy’s announced plans to close hundreds of U.S. restaurants in the coming months as part of an effort to boost profits and make its remaining stores more appealing to customers.
According to The Associated Press, the Dublin, Ohio-based chain said in a Friday investor call that it would begin closing locations in the fourth quarter, affecting a “mid-single-digit percentage” of its U.S. stores. With 6,011 U.S. locations at the end of the third quarter, a 5% reduction would mean roughly 300 closures.
“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. The goal is to address and fix those restaurants,” said interim CEO Ken Cook, who took over in July.
Cook said struggling restaurants may be upgraded with new technology or equipment, transferred to a different operator, or closed entirely. He emphasized that targeting underperforming stores is intended to improve traffic and profitability at the remaining locations.
The closures follow the shuttering of 240 Wendy’s stores in 2024, with many of the chain’s 55-year-old restaurants deemed outdated.
U.S. fast-food chains have faced challenges attracting lower-income consumers as inflation has raised prices. Wendy’s same-store sales fell 4% in the first nine months of 2025 compared with last year, revenue dropped 2% to $1.63 billion, and net income fell 6% to $138.6 million.
Cook said $5 and $8 meal deals, similar to those offered by McDonald’s, have helped drive some traffic, but the chain plans to shift its marketing to highlight value and ingredient freshness to attract new customers.
Wendy’s shares fell 7% on Friday and were down 5% on Monday afternoon.
