Updated
Updated · USA TODAY · Jun 17
Papa John's Closes 44 U.S. Restaurants in Q1 as 300-Store Profitability Plan Advances
Updated
Updated · USA TODAY · Jun 17

Papa John's Closes 44 U.S. Restaurants in Q1 as 300-Store Profitability Plan Advances

3 articles · Updated · USA TODAY · Jun 17

Summary

  • 44 Papa John’s restaurants shut in North America during the first quarter, including five company-owned stores and 39 franchised locations across 17 states.
  • 300 underperforming restaurants are slated to close by the end of 2027, with about 200 expected in 2026 as the chain pushes to improve restaurant profitability.
  • Less than $600,000 in average sales marks many of the targeted stores, which the company said are mostly franchise-owned, more than 10 years old and pressured by food and labor inflation.
  • 17% higher average sales in the U.K. followed a similar pruning strategy, which Papa John’s says can free franchisees to focus resources on stronger restaurants and priority markets.

Insights

As Papa John's shrinks in the US, what can it learn from rival brands booming overseas?
As Papa John's closes 300 stores, can its new AI strategy truly outpace soaring industry costs?