Wendy’s will close 140 underperforming restaurants by the end of the year

Wendy’s aims to close 140 underperforming locations by the end of the year, the company said.

Wendy’s CEO Kirk Tanner said in its third-quarter earnings call that the decision to close was made after reviewing individual restaurants.

“We conducted a thorough review of individual restaurants to ensure they meet our sales expectations, have profitability to support growth and provide customers with the Wendy’s brand experience,” Tanner said.

As a result, the fast-food chain is closing stores that are “outdated and located in underperforming shopping areas,” Tanner said.

He did not name specific locations that are planned to close.

But the CEO said that over time, the goal is to replace the closed locations with new restaurants in better locations that will generate higher sales and profitability.

“We expect total closures in 2024, including additional closures in the fourth quarter, to be offset by new restaurant openings this year, leaving our net restaurant growth roughly flat compared to the prior year,” Tanner said.

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Wendy’s opened 64 new restaurants worldwide in the third quarter and is on track to reach its goal of opening 250 to 300 restaurants worldwide by 2024.

“Overall, Wendy’s system is extremely healthy,” Tanner said.

The newly announced closures add to the 100 closures Wendy’s announced in May, according to CNN.

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