Papa John’s Plans to Close 300 U.S. Locations by 2027
Papa John's is set to close up to 300 of the company's stores in North America by the end of 2027, with roughly 200 locations possibly shuttering as soon as by the end of this year.
Why Papa John’s Is Closing So Many Locations in the Coming Months
On February 26, CNN reported on Papa John's announcing plans for many store closures during an earnings call that happened that day. While addressing investors, it was revealed that up to 300 underperforming locations would be shut down by the end of 2027. It was also announced that about 7% of the company's roughly 700-person corporate workforce had been cut.
The company's Chief Financial Officer and President of the chain's North American operations, Ravi Thanawala, addressed the planned closures. He explained that the locations that would be closed were “not meeting brand expectations or lack a clear path to sustainable financial improvement, as well as locations where we can effectively transfer sales to a nearby restaurant." The company didn't reveal specifics about any of the locations that had been chosen for closure.
The other key piece of information that was announced while discussing the plans was that as many as 200 Papa John's restaurants could be shut down by the end of 2026. That is especially remarkable since the announcement was made on February 26, when only 307 days were left in the year. 200 locations closing over that span of time would be a very steady pace.
According to a filing with the Securities and Exchange Commission (SEC), Papa John's was operating 3,523 locations as of December 28, 2025. That means that if 300 locations are closed by the end of 2027, 3,253 of the chain's locations will remain in operation. Still, based on their own numbers, the company is preparing to shut down roughly 8.5% of their restaurants.
The major moves from the pizza chain follow a tough stretch for the company. Papa John's suffered a roughly 5.4% decline in same-store sales in North America, according to the earnings call details reported by CNN.
It is important to note that Papa John's is far from the only company in the restaurant business that struggled in 2025. According to a report from the National Restaurant Association, 53% of operators reported a decline in sales in December 2025 from the same month the previous year.