Pizza Hut to Close 250 Underperforming Locations

Struggling pizza chain's parent company Yum Brands announces major store closures.

Published on Feb. 4, 2026

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Yum Brands, the parent company of Pizza Hut, announced plans to close approximately 250 underperforming Pizza Hut locations in the first half of 2026. The closures make up about 3% of Pizza Hut's U.S. footprint and come as the chain has seen a 1% decline in global same-store sales in 2025. The company is looking at ways to improve Pizza Hut's performance, including the targeted closures.

Why it matters

The Pizza Hut closures reflect ongoing challenges for the struggling pizza chain, which has faced declining sales and a shift in consumer preferences away from dine-in spaces toward faster pickup and delivery options. The closures are part of Yum Brands' efforts to revitalize the Pizza Hut brand and improve its overall performance.

The details

Yum Brands, which also owns KFC and Taco Bell, said it would be closing approximately 250 underperforming Pizza Hut locations in the first half of 2026. The closures make up about 3% of Pizza Hut's U.S. footprint. In late 2025, Yum Brands had said it was considering selling the struggling pizza chain, as U.S. sales were down and many locations operated in large, outdated dine-in spaces that did not align with consumer preferences for faster pickup and delivery.

  • In late 2025, Yum Brands said it was considering selling the struggling Pizza Hut chain.
  • In 2020, one of Pizza Hut's largest franchisees filed for bankruptcy protection and closed 300 stores.
  • Pizza Hut was founded in 1958 in Wichita, Kansas.

The players

Yum Brands

The parent company of Pizza Hut, KFC, and Taco Bell.

Pizza Hut

A major pizza chain founded in 1958 in Wichita, Kansas.

Domino's

The world's largest pizza chain, with a focus on delivery and carryout.

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What they’re saying

“Looking back at 2025, Pizza Hut saw a 1% same-store sales decline globally for the quarter of the year.”

— Ranjith Roy, CFO, Yum Brands (thehill.com)

The takeaway

The Pizza Hut closures highlight the ongoing challenges facing the brand as it struggles to adapt to changing consumer preferences and competition from delivery-focused chains like Domino's. Yum Brands' efforts to revitalize Pizza Hut will be closely watched as the company looks to turn around the struggling pizza chain.