The fast-food giant Wendy’s, best known for its square, never-frozen beef hamburgers, the Baconator, and its classic Frosty dessert, is preparing to scale back operations at several U.S. locations.
Interim CEO Ken Cook told investors during last Friday’s quarterly earnings call that a “mid-single-digit percentage” of Wendy’s roughly 6,000 domestic restaurants could close. This translates to an estimated 200 to 350 locations.
The announcement follows Wendy’s decision last November to shutter 140 restaurants, marking another round of contraction for the Ohio-based chain.
“When we look at the system today, we have some restaurants that do not elevate the brand and are a drag from a franchisee financial performance perspective,” shared Cook. “The goal is to address and fix those restaurants.”
According to Cook, the closures will begin later this year and continue through 2026, though he did not specify which locations would be affected.
The CEO added, “These actions will strengthen the system and enable franchisees to invest more capital and resources in their remaining restaurants. Closures of underperforming units are expected to boost sales and profitability at nearby locations.”
Cook’s announcement came after the company reported $44.3 million in profits and $549.5 million in revenue, surpassing analyst expectations by 2.71%. Wendy’s also posted an adjusted earnings per share (EPS) of $0.24, exceeding forecasts by 20%.
While U.S. same-store sales declined 4.7% and global system-wide sales fell 2.6%, Wendy’s saw an 8.6% increase in international sales, helping to offset some of the domestic weakness.
Wendy’s recently announced the return of its revamped Chicken Tenders, commonly known as “Tendys,” in late September. Alongside the relaunch, the chain introduced an expanded lineup of sauces, including Wendy’s Signature, Sweet Chili, Scorchin’ Hot, Creamy Ranch, Honey BBQ, and Honey Mustard, which replaced the previous dipping options. The new sauces, designed for what Wendy’s calls “maximum dunkability,” are now nearly twice the size of the original containers.
The “Tendys” have shown promising momentum for Wendy’s. As Cook noted, “We’re looking forward to continuing that momentum, and this is an encouraging first step as we look to reestablish our leadership position in chicken.”
It remains to be seen whether any Wendy’s locations in Chester County will be among the 200 to 350 restaurants slated for closure.
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