When did Red Lobster file for bankruptcy?

Red Lobster entered bankruptcy in 2024.

Who is the new CEO of Red Lobster?

The new CEO of Red Lobster is Damola Adamolekun.

What changes is Red Lobster making after bankruptcy?

Red Lobster is renovating locations, streamlining its menu, and focusing on operational efficiencies.

Home / Business and Economy / Red Lobster's Comeback: Out of Bankruptcy in 3 Months!

Red Lobster's Comeback: Out of Bankruptcy in 3 Months!

2 Jan

Summary

Red Lobster exited bankruptcy in three months under new leadership.
The chain expects positive net income by fiscal 2026.
New CEO focuses on efficiency, menu changes, and renovations.

Red Lobster's Comeback: Out of Bankruptcy in 3 Months!

Red Lobster has rapidly exited bankruptcy proceedings, a process that took approximately three months following its 2024 filing. The once-struggling seafood chain, now led by CEO Damola Adamolekun, is implementing a strategic turnaround plan.

The company anticipates achieving positive net income in fiscal 2026 and expects significant growth in adjusted EBITDA through fiscal 2027. Adamolekun, formerly of P.F. Chang's, is prioritizing operational efficiencies and has vowed to avoid costly promotions like the "endless shrimp" fiasco.

Plans include a $60 million investment for restaurant renovations, menu simplification, and enhancing the customer experience. Red Lobster, now operating around 500 locations, aims to become a more affordable and appealing dining destination.

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