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Giant pizza restaurant chain closing 250 restaurants nationwide

The decline in the pizza restaurant industry will continue into 2026 as major food chains close hundreds of locations, making it harder for consumers to get their favorite meal.

Pizza restaurants have faced serious economic headwinds over the past two years; many chains have struggled with fierce competition, rising labor and food costs, and high rental rates that have required many companies to initiate out-of-court restructurings, close locations, and in some cases file for bankruptcy.

based in seattle Mod Pizza It operated nearly 500 locations in 2024, but economic difficulties forced it to close 27 units and sell its assets to Elite Restaurant Group, based in Chatsworth, California.

The restaurant chain was unable to solve its economic problems and continued to close its restaurants, with 448 restaurants listed on its website as of February 4.

Other smaller pizza chains filed for bankruptcy in 2025, including Bertucci’s Restaurants, which filed for Chapter 11 protection on April 24, 2025, and Backdraughts, which filed on July 23, 2025.

Domino’s operator People First Pizza Inc. filed Chapter 11 on March 26, 2025. and Major pizza restaurant franchisees, including Little Caesars franchisee Red Door Pizza LLC, which filed its petition on July 15, 2025, also experienced financial difficulties and filed for bankruptcy protection last year.

Domino’s holds the title of largest pizza chain in the United States, with approximately 7,090 units by the third quarter of 2025, according to the “Domino’s 101: Fun facts” report on the company’s website.

Little Caesars claims to be the third largest pizza chain in the United States but does not list its total locations. There appear to be over 4,200 members of the chain in the US, according to LocationsCloud.

Pizza Hut claims to operate more than 6,700 locations in the U.S., according to its website, but the chain will soon be downsizing.

Pizza Hut’s parent company, Yum! Brands plans to close 250 locations in the first half of 2026.Shutterstock · Shutterstock

Giant pizza chain Pizza Hut said it will close 250 underperforming restaurant locations in the first half of 2026 as part of its Hut Forward plan, after reporting a 1% decline in same-store sales globally in the fourth quarter and for 2025. Very good! of brands Ranjith Roy, Chief Financial Officer, said in the company’s Q4 2025 forecast: earnings call February 4.

But the company has strengthened in the Middle East, Latin America and Asia, with Pizza Hut International reporting a 1% increase in same-store sales.

The Hut Forward program is a one-time Yum! The aim is to contribute marketing support, modernize certain technology and franchise agreements, and close underperforming units, Roy said on the earnings call.

But globally, Pizza Hut opened over 440 gross units in the fourth quarter and nearly 1,200 gross units in 65 countries in 2025.

Earlier in its earnings announcement, Yum! Brands CEO Christopher Turner described Pizza Hut’s strategic review, which he started in 2017, as follows: November 2025was progressing as planned and the review of options will be completed in 2026.

“Given the nature of the process, we are unable to share further details regarding the strategic review at this time,” Turner said. Seeking Alpha.

More closures:

Aside from disappointing earnings news from Pizza Hut, Yum! Roy said the company showed strong fourth-quarter results with 5% system sales growth, 3% unit growth and 3% same-store sales growth across the company.

For this year, Yum! The system reported 5% growth in sales, led by Taco Bell up 8% and KFC up 6%.

  • Domino’s Pizza, 7,090 locations

  • Pizza Hut, 6,700 locations

  • Little Caesars, 4,200 locations

Related: Former NFL coach’s winery closes tasting room, no bankruptcy

This story was first published by . Street It first appeared in Restaurants on February 4, 2026. Add TheStreet at: Preferred Source by clicking here.

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