Things are looking too good for Papa John’s.
In a press release, Papa John’s announced it will close 300 locations.
Over 200 restaurants will be closed by the end of 2026, with the remaining 100 expected to close by the end of 2027.
CBS provided more details on Papa John’s decision to close its doors at hundreds of locations:
Papa John’s plans to shutter 300 of its restaurants by the end of 2027 as the struggling pizza chain moves to cut costs and close underperforming locations.
Chief Financial Officer Ravi Thanawala said in a fourth-quarter earnings call with Wall Street analysts that some of the restaurants slated to be closed are “not meeting brand expectations or lack a clear path to sustainable financial improvement.” In other cases, the restaurants represent locations where Papa John’s can “effectively transfer sales” to a nearby outlet, he added.
Papa John’s plans to shut 200 locations by the end of this year, with the rest to be closed by the end of 2027, according to Thanawala. The pizza chain has 6,000 locations across roughly 50 countries and territories, according to its website.
The restructuring comes as Papa John’s struggles to boost its domestic sales and drive growth. In February, the company reported 2025 revenues of $2.1 billion, flat compared with the previous year, along with shrinking profits.
All politics aside, Papa John’s is easily the worst pizza chain in the country. https://t.co/oLMsZnuRot
— South Dallas Foodie (@SouthDallasFood) February 26, 2026
Papa John’s founder John Schnatter, who was ousted from the company for using the N-word, believes the pizza just doesn’t taste the same since he left:
Papa John’s isn’t the only pizza chain closing restaurants.
USA Today reported Pizza Hut is closing hundreds of locations, too:
Pizza Hut is set to close 250 “underperforming” locations in the United States in the first half of 2026 as its parent company, Yum! Brands Inc. continues a strategic review of the struggling brand.
During a Feb. 4 Yum! Brands earnings call, Chief Financial Officer Ranjith Roy said that the move was part of “Hut Forward,” a strategy which includes “vibrant marketing, modernization of technology, and franchise agreements.”
ADVERTISEMENT“While we don’t share specific details of franchise agreements, we are pleased to be working in partnership with our franchisees on increased efforts to deliver near-term sales while advancing long-term strategy,” Yum! Brands told Restaurant Business Online in an emailed statement.
Maybe these pizza chains will start regaining the quality that led to their rise.
What’s your view?
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