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Papa John’s to Close 300 North American Stores as Turnaround Deepens

The chain is targeting older, low‑volume franchised units to boost profitability through a restructuring.

Overview

  • About 300 underperforming restaurants in North America will close by the end of 2027, with roughly 200 set to shut in 2026, and the company has not released a list of locations.
  • Papa John’s cut approximately 7% of its corporate workforce as part of its cost‑reduction plan.
  • Executives project at least $25 million in non‑marketing cost savings through 2027, including about $13 million expected in 2026.
  • The menu will be simplified by phasing out Papadias and Papa Bites, and management expects this to pressure 2026 North America comparable sales in the near term.
  • The company will accelerate refranchising and pursue international expansion with a target of 180–220 gross openings in 2026, following a Q4 North America same‑store sales decline of 5.4% and a stock drop of roughly 7–8%.