American fast-food giant Wendy’s has announced plans to shut down a portion of its U.S. outlets following a slump in sales and profitability. The company said it would close a mid-single-digit percentage of its roughly 6,000 domestic restaurants, amounting to about 200 to 350 locations.
The move comes after Wendy’s reported declining same-store sales and lagging profits in its latest quarterly results. According to a CNN report, the closures were disclosed during the company’s November 7 earnings call, where executives cited tough market conditions, rising operational costs, and slowing consumer spending as major challenges.
Wendy’s, known for its square-shaped burgers and Frosty desserts, has been facing intense competition from rivals like McDonald’s, Burger King, and Chick-fil-A, all of which have been aggressively expanding their menus and digital offerings. Inflationary pressures and higher input costs have also squeezed margins across the U.S. fast-food industry.
Despite the closures, Wendy’s management emphasized that the company remains committed to long-term growth. It plans to focus on optimizing its restaurant footprint, investing in digital innovation, and strengthening its delivery and drive-thru business, which have become key growth drivers post-pandemic.
Founded in 1969 and headquartered in Dublin, Ohio, Wendy’s operates over 7,000 restaurants worldwide. The upcoming closures mark one of the brand’s largest restructuring efforts in recent years, signaling a shift in strategy to maintain profitability in a tightening U.S. market.
As consumer spending patterns evolve, the company’s ability to adapt to changing preferences will be critical in determining Wendy’s future in the fiercely competitive fast-food landscape.
