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Wendy's to close hundreds of restaurants by 2026
Business
Wendy's is preparing to close hundreds of its restaurants by 2026, mainly due to rising costs and shifting customer habits.
Even though the chain saw a small bump in sales last year—$14.5 billion globally—higher expenses and changing tastes are making things tough for the brand that started back in 1969.
Wendy's is feeling the heat from competitors
Wendy's is feeling the heat from competitors like Chili's, who are rolling out wallet-friendly deals while food prices keep climbing (food away from home inflation hit 4.1% in 2024).
With operating margins squeezed and operating costs up, analysts say closing some spots should help Wendy's focus on its best-performing restaurants and stick to its promise of quality—even as it navigates a tricky market.