Popular Ohio-based restaurant chain to close hundreds of locations through 2026

Wendy’s, the iconic American fast-food chain known for its square burgers and Frosty treats, has announced a major strategic shift that will see hundreds of its U.S. restaurants close by the end of 2025 and into 2026 as part of a broader turnaround plan. The closures come amid declining sales resulting from changing consumer trends and economic concerns, including inflation.

Scope of closures

Wendy’s, which was founded in 1969 in Columbus, Ohio, is set to close hundreds of restaurants starting late this year and moving into 2026.

In an earnings call with investors, Wendy’s Interim CEO Ken Cook confirmed that the closures will affect a “mid-single-digit percentage” of the company’s roughly 6,000 U.S. locations — translating to anywhere between 200-350 restaurants nationwide. 

Cook explained that the closures will focus on “consistently underperforming” stores, allowing franchisees to reallocate resources and capital toward better-performing sites and improving the chain’s overall operational health.

Changing trends

The move comes amid ongoing pressure on Wendy’s U.S. same-store sales, which declined in recent quarters as inflation and changing consumer habits prompted many customers — particularly lower-income diners — to cut back on eating out. 

Company leadership has framed the closures as part of a comprehensive restructuring strategy named “Project Fresh”, designed to revitalize the brand, enhance profitability, and strengthen customer experience across the brand’s footprint.

Moving forward

While the closures mark a significant contraction in the Wendy’s U.S. footprint, the company says it will continue to invest in its top markets and flagship formats. The closures are expected to occur gradually, starting in late 2025 and continuing into next year, with exact locations and timelines determined in collaboration with franchise partners. 

In addition to shuttering underperforming stores, Wendy’s plans to reinvest in higher-traffic restaurants and remodel select locations to better compete in an increasingly crowded fast-food landscape.

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