Wendy's Plans to Close Hundreds of Stores Nationwide in Late 2025
Wendy's, an Ohio-based fast-food chain with about 6,000 locations across the U.S., announced plans to close roughly 300 stores in late 2025. This move comes just a year after shutting down 140 locations.
Details from the Earnings Call
Interim CEO Ken Cook informed investors during a quarterly earnings call on November 7 that the company will close a "mid single-digit percentage" of its restaurants. This percentage translates to approximately 240 to 360 closures nationwide, with one investor estimating around 300 stores.
"When we look at the system today, we have some restaurants that do not elevate the brand and are a drag from a franchisee financial performance perspective," Cook said. "The goal is to address and fix those restaurants."
He explained that some locations might undergo upgrades in technology or equipment, or be handed over to new operators, while others will be closed entirely.
Store Openings vs. Closures
In 2024, about 250 to 300 new Wendy's sites were expected to open, according to spokesperson Heidi Schauer. However, after a strategic review, the company now anticipates closures to roughly match openings, resulting in flat net growth for the year.
"After our strategic review, we now expect a similar number of closures as openings, so we expect net unit growth in 2024 to be roughly flat," Schauer stated.
Michigan Locations
Wendy's currently operates 218 locations in Michigan. At this time, the company has not released a list of specific stores earmarked for closure.
Closure Timeline
The store closures are expected to start in the fourth quarter of 2025.
Summary
Wendy's aims to improve overall brand quality by closing underperforming stores, balancing openings and shutdowns for steady growth.
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