Wendy's announces sweeping closures of hundreds of restaurants across US starting in late 2025. What is the reason behind major shake-up?

Wendy's to Close Hundreds of U.S. Restaurants in 2025–2026

Wendy's announced plans to shut down several hundred underperforming restaurants across the United States by 2026. The move is part of a broader turnaround strategy designed to revitalize the brand and improve profitability among the company’s stronger locations.

Reason for the Major Overhaul

The closures come as Wendy's responds to declining domestic sales and rising competition within the fast-food industry. The company hopes that streamlining operations will allow it to better allocate resources and strengthen its core business.

Previous Closures

This wave of shutdowns follows the closure of 140 stores in 2024, signaling continued restructuring efforts aimed at long-term sustainability.

“This move aims to strengthen the system and boost profitability at remaining restaurants.”

The company believes that the streamlined structure will set the foundation for renewed growth and improved customer experiences in the years ahead.

Author’s summary: Wendy's implements a major restructuring plan, closing underperforming stores to improve financial stability and focus on high-performing markets.

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The Economic Times The Economic Times — 2025-11-08