Pizza Hut Forced To Close 500 Locations

(Photo Source: PizzaHut.com)

Bella Breakdown

Times are hard for restaurant chains and sadly it seems Pizza Hut is now feeling those effects. The fast-food pizza chain announced that it will be closing over 500 locations across the U.S.

According to Food Business Network, Pizza Hut has decided to focus more on delivery and carryout services, meaning it will cut back on “underperforming” restaurants. “This will ultimately strengthen the Pizza Hut business in the U.S. and set it up for faster long-term growth,” said President of Yum! Brands David W. Gibbs during an earnings call.

According to Yum! Brands website, there are currently 7,496 Pizza Hut locations across the country. Of those, 6,100 are traditional dine-in restaurants and 1,350 are express locations. The closings are expected to take place in the next two years

“During this transition, we expect a temporary deceleration in the pace of new unit development for the Pizza Hut division… As a result, our U.S. store count could drop to as low as 7,000 locations over the next 24 months, primarily driven by closures of underperforming dine-in restaurants before rebounding to current levels and above in the future,” Gibbs explained.