Pizza Hut is set to close 250 underperforming locations across the United States in the first half of 2026, according to its parent company Yum! Brands. The announcement came during the company's fourth-quarter earnings call on Wednesday, revealing that the closures represent about 3 percent of the chain's US footprint.
Yum! Brands, which also owns Taco Bell and KFC, stated that the decision follows a strategic review launched in November. CEO Chris Turner had previously indicated that the company was considering selling the struggling pizza chain. During the call, executives declined to provide further details on the review, which is expected to conclude this year.
The closures target locations that have been underperforming, as Pizza Hut continues to face stiff competition from rivals like Domino's Pizza. Unlike other Yum! brands such as Taco Bell, which have attracted customers through new menu items, Pizza Hut has seen declining sales. Same-store sales in the US fell 3 percent in the fourth quarter and 5 percent for the full year.
Pizza Hut operates nearly 20,000 stores in over 100 countries, with about 6,500 in the US, which account for almost half of its sales. The chain has faced challenges before; in 2020, one of its largest franchisees filed for bankruptcy and closed 300 stores. Founded in 1969, Pizza Hut was the world's top pizza chain by sales by 1971 and was acquired by PepsiCo in 1977, later becoming part of Yum Brands in 1997.
