<\/p>\n
After spending the past several years eliminating underperforming restaurants, a well-known restaurant chain has confirmed another round of closures through the remainder of 2026.<\/p>\n
Company leadership says the strategy is designed to concentrate sales at stronger-performing locations, improve profitability, and support long-term growth as restaurant operators continue to navigate higher operating costs and changing consumer dining habits.<\/p>\n
Founded in 1995 in Denver, Colorado, Noodles & Company is a fast-casual restaurant chain known for its noodle dishes, pasta, soups, and salads. The chain currently operates nearly 400 restaurants nationwide.<\/p>\n
Noodles & Company confirms more restaurant closures in 2026<\/p>\n
Noodles & Company has closed 46 company-owned restaurants and 11 franchise locations since July 1, 2025, according to its second-quarter fiscal 2026 earnings report.<\/p>\n
During the quarter alone, the chain shuttered two company-owned restaurants and two franchise locations.<\/p>\n
Looking ahead, Noodles & Company expects to close approximately 30 to 35 company-owned restaurants and five franchised locations during fiscal 2026.<\/p>\n
“We have and will continue to close restaurants that predominantly are in proximity to higher performing nearby restaurants,” said Noodles & Company CEO Joe Christina.<\/p>\n
“Given our high mix of off-premise sales combined with strong brand recognition, this is resulting in a transfer of approximately a third of the sales from the closed restaurant on average, which further raises the average unit volume at the nearby restaurants, improving efficiencies and resulting margins.”<\/p>\n
Christina added that the majority of the company’s recent sales and traffic growth has come independently of sales transferred from closed restaurants, indicating that broader operational improvements are driving performance.<\/p>\n
As a result of the shutdowns, Noodles & Company recorded a $4.8 million non-cash impairment charge related to the reduced value of restaurants slated for closure.<\/p>\n
Recent Noodles & Company closures are part of broader turnaround strategy<\/p>\n
The latest round of closures is part of a multi-year effort by Noodles & Company to streamline its restaurant portfolio, improve restaurant-level economics, and strengthen its long-term financial performance.<\/p>\n
According to the company’s investor relations website, the chain:<\/p>\n
2024: Closed 13 company-owned restaurants and seven franchise locations.2025:\u00a0Closed 33 company-owned restaurants and nine franchise locations.2026:\u00a0Plans to close approximately 30 to 35 company-owned restaurants and five franchised locations by the end of the fiscal year.<\/p>\n
The strategy reflects a broader trend across the restaurant industry, where brands are increasingly shuttering lower-performing locations to focus investment on restaurants with stronger sales, higher traffic, and better long-term growth potential.<\/p>\n
Rising labor costs, occupancy expenses, and slower consumer spending have prompted many restaurant operators to reassess their footprints and prioritize higher-performing locations.<\/p>\n
Noodles & Company confirms more restaurant closures in 2026.<\/p>\n
RJ Sangosti/The Denver Post via Getty Images<\/p>\n
Why Noodles & Company is closing locations<\/p>\n
During its second-quarter earnings call, Noodles & Company said the closures are intended to create a more profitable, resilient business while positioning the company for sustainable long-term growth.<\/p>\n
Executives said the chain has improved the guest experience by operating restaurants more consistently and placing greater emphasis on hospitality, encouraging repeat visits, and building customer loyalty.<\/p>\n
Here’s some of\u00a0my previous coverage\u00a0of restaurant closures:<\/p>\n
Popular breakfast chain sold, 16 locations shut downPopular beverage chain closing multiple locations nationwidePizza chain closing up to 50 locations after years of declines<\/p>\n
The chain has also focused on disciplined menu innovation and limited-time offerings to generate demand. During the quarter, Noodles & Company highlighted its Asian-inspired menu, which it said remains one of its most popular categories with guests.<\/p>\n
Marketing has also become a central part of the turnaround strategy. The company said it has adopted a more integrated approach designed to increase brand awareness and attract new customers.<\/p>\n
Its “Made Right Now” campaign was the strongest-performing creative initiative of the quarter across paid media, delivering the company’s highest video completion rates while generating more website traffic and more attributed digital and in-restaurant purchases than any previous campaign on Meta and TikTok.<\/p>\n
Turnaround efforts are beginning to gain momentum<\/p>\n
Noodles & Company’s strategy is starting to translate into stronger operating performance.<\/p>\n
During the second quarter of fiscal 2026, the company reported:<\/p>\n
Total revenue increased 0.5% year over year.System-wide comparable restaurant sales rose 10.3%.Company-owned comparable restaurant sales climbed 11.4%.Franchise comparable restaurant sales grew 5.5%.<\/p>\n
The strong comparable sales growth suggests the chain’s strategy of closing weaker-performing restaurants while investing in stronger locations is beginning to deliver measurable improvements.<\/p>\n
“We’ve also delivered the strongest second quarter comparable sales performance since becoming a publicly traded company, which is far exceeding the industry Black Box results,” said Christina.<\/p>\n
“Those results reinforce what we’ve been saying all year. The momentum at Noodles is real.”<\/p>\n
Related: Popular breakfast chain sold, 16 locations shut down<\/p>\n
#30yearold #restaurant #chain #confirms #closures<\/p>\n","protected":false},"excerpt":{"rendered":"
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