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Pizza Hut Faces Massive US Closures Amid Sales Slump
5 Feb
Summary
- Hundreds of Pizza Hut locations to close in the first half of 2026.
- Sales have declined significantly, with US same-store sales down 5% for the year.
- Parent company Yum! Brands is considering strategic options, including a sale.
Pizza Hut is set to close around 250 of its US restaurants in the first half of 2026. This decision by its parent company, Yum! Brands, is a response to declining sales and increased competition within the fast-food pizza sector. These closures represent about 3 percent of Pizza Hut's total US footprint.
The strategic review for Pizza Hut, launched in November, includes the possibility of selling the brand. Yum! Brands confirmed that the closures will target underperforming sites, aiming to bolster overall financial performance. Despite a global presence, the US market is crucial, accounting for nearly half of Pizza Hut's sales.
Pizza Hut's struggles are evident in its financial figures, with US same-store sales falling 3 percent in the fourth quarter and 5 percent for the entire year. This situation contrasts with the success of other Yum! Brands properties like Taco Bell, which thrive through continuous menu innovation. The brand, founded in 1969, was once the top pizza chain by sales.
