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Papa John's closes 44 stores in multiple locations in the US
USA Today • • business
Key Points:
- Papa John’s has closed 44 stores in North America during the first quarter of 2026 as part of its plan to close 300 underperforming locations by the end of 2027, with about 200 closures expected in 2026.
- The closures, primarily franchise-owned stores over 10 years old with average sales under $600,000, aim to improve restaurant profitability and allow franchisees to focus resources on stronger-performing locations.
- Company executives highlighted challenges such as food costs and labor inflation impacting domestic earnings, with plans to enhance profitability through supply chain savings and operational efficiencies.
- Despite store closures, Papa John’s reported increased pizza sales and order growth in its carryout business, attributing gains to promotional offers and improvements in technology, customer experience, and cost structure.
- The company emphasizes support for franchisees during closures or relocations to ensure long-term success and healthier franchise operations.
