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Papa Johns Is Closing Hundreds of Locations

  • During the Feb. 26 earnings call, Papa Johns said it will close approximately 300 underperforming restaurants by 2027, with about 200 in 2026, Ravi Thanawala stated.
  • After a strategic review, the company determined 300 restaurants are `not meeting brand expectations` amid a brutal fourth quarter and a 5.4% decline in North America same-store sales, executives said.
  • The company is also restructuring operations by cutting about 7% of its roughly 700-person corporate workforce, accelerating its refranchising program, and planning 40–50 gross new restaurants in 2026 among 3,500 total locations at end of 2025.
  • CEO Todd Penegor said `These actions... represent meaningful progress against our transformational objectives`, with Papa Johns expecting to save at least $25 million through 2027, and roughly $13 million in 2026.
  • Across the sector, competitors are also resizing their fleets, as Pizza Hut plans about 250 closures and Domino's Pizza reported a 3.7% same-store sales growth earlier this week while Papa Johns posted a 1% global sales increase despite a North America sales dip of 2%.
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Papa Johns is closing hundreds of locations

Papa Johns is the latest pizza chain to announce the closure of hundreds of locations as customers cut back on their spending.

·Atlanta, United States
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King5 News broke the news in Seattle, United States on Thursday, February 26, 2026.
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