Papa John’s has announced plans to close approximately 300 branches between now and 2027, with the majority expected to cease operations within this year.
The information was released during an earnings presentation on Thursday. According to the company, the locations slated for closure are facilities that "did not meet brand expectations" or "had no clear strategy to sustainably improve financial performance."
Ravi Thanawala, Chief Financial Officer and President of Papa John’s North America, stated that some stores would also close because the company can shift revenue to more efficient neighboring branches.
This plan is part of a system-wide restructuring strategy aimed at optimizing the store network and focusing on higher-performing locations, especially as the fast-food market experiences volatility, causing Jack in the Box stock to plummet due to declining sales.
The company has not yet announced which specific areas will be affected; however, experts suggest that tax disparities between regions are also a factor prompting businesses to rethink their real estate strategies.
