Smoothie King plots expansion as wellness trends boost sales

Current wellness trends, from the rise of GLP-1 drugs to the backlash against artificial ingredients, are fueling Smoothie King’s growth.

“There are significant industry headwinds behind what we do,” said Gavin Felder, the chain’s president and CFO. “What we’re learning is that people are much more conscious of what choices they make. A lot of people are now focusing on protein and fiber and all that good stuff.”

Founded more than 50 years ago, the privately held chain deserves credit for coining the word “smoothie” and popularizing healthy drinks. CEO Wan Kim, who previously owned the brand’s franchise in South Korea, has owned Smoothie King since 2012. Last year, the company sold a minority stake to private equity firm Main Post Partners, saying the deal would help Smoothie King accelerate growth and innovation.

“If you start the clock [in 2012]”We’ve been growing system sales at a double-digit compound rate since then,” said Felder, who joined the company two years ago after 16 years at KFC owner Yum Brands.

Smoothie King has increased its store count by about 23% in the past five years, the company told CNBC. The chain’s systemwide sales increased approximately 64% during this period.

The company recorded revenue of $66.16 million in 2025, up 4% from the previous year, according to franchise disclosure documents. However, its net income fell nearly 6% to $14.84 million. At the end of the year, Smoothie King had more than 1,200 locations. Franchisees operate more than 96% of the chain’s stores.

Now, as consumer tastes shift toward maximizing nutrients, protein and fiber, the chain sees an opportunity to both improve its existing locations and build new ones.

in April, Smoothie King announced It’s a new store design that the company calls more “warmth” and “approachability” (moving away from the current “simple, functional aesthetic”) and plans to gradually introduce it across its entire footprint.

And more stores are on the way: The chain said franchisees have committed to opening more than 200 new stores in the coming years. It also plans to further expand its food business with flatbreads by improving its existing options of smoothie bowls, yogurt bowls and filled toasties.

Smoothie King and its franchisees will open approximately 90 new stores this year, according to Felder.

While Smoothie King thrived before the current protein and fiber craze, the trends have boosted sales at a time when many restaurant chains are trying to appeal to frugal consumers.

The increasing adoption of GLP-1 drugs such as Ozempic and Wegovy is partly responsible for consumers’ interest in increasing their protein and fiber intake. There is also growing pressure from both consumers and regulators to move away from overly processed foods and so-called artificial flavors and dyes, fueled in part by the Make America Healthy Again movement led by Health and Human Services Secretary Robert F. Kennedy Jr.

Smoothie King was a bit ahead of the rest; The chain completed its “Clean Blends Initiative” in 2019, which removed preservatives, artificial flavors and colors, and genetically modified fruits and added organic vegetables.

“We have a ‘no-no’ list that’s longer than Panera’s, longer than Chipotle’s,” Felder said.

Moving forward with its store redesigns, Smoothie King plans to share more of its story, from its founding to banned ingredients.

“Many of our guests are interested in health and wellness,” Felder said. “They want to make sure they’re tracking everything they can. They’re very interested in transparency and the level of information they can get about our brand and our products… That’s a huge headwind for the category.”

As average national gas prices reach $4 per gallon, consumers are showing signs of becoming more conscious of their budgets. Many restaurant companies, Domino’s Pizza with chipotleHe reported that sales softened in March after the US-Israeli war with Iran began.