Fast Company

Pizza Hut will close 250 ‘underperforming’ locations in 2026 as list of struggling restaurants grows

Pizza Hut is closing hundreds of underperforming locations across the United States, with approximately 250 locations set to shutter in the first six months of 2026. This move is part of the company's effort to address declining store sales and consumer demand, as well as increased competition from Domino's Pizza. The closures represent about 3% of Pizza Hut's total US locations. Despite the closures, Pizza Hut has been expanding globally, opening over 440 new restaurants in the fourth quarter of 2025 and nearly 1,200 in all of 2025. Yum Brands, the parent company of Pizza Hut, reported mixed fourth-quarter results for 2025, with revenue beating expectations but earnings per share falling short. Taco Bell and KFC, also owned by Yum Brands, showed strong sales growth, with Taco Bell's same-store sales up 7% and KFC's up about 1%. The company's CEO, Chris Turner, expressed confidence in the long-term growth prospects of KFC and Taco Bell, citing a clear strategic focus on accelerating growth. Yum Brands' shares were trading down less than 1% in afternoon trading on Wednesday, despite having jumped 6% so far this year. The company's earnings report highlighted the challenges facing Pizza Hut, but also the strengths of its other brands. Overall, Yum Brands is looking to accelerate long-term growth through its multi-year "Raise the Bar" initiative, which prioritizes strategic focus and expansion.
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