Pizza Hut to Close 250 US Stores as Parent Company Considers Selling Brand

Yum Brands cites underperforming locations and growing competition as reasons for the closures.

Published on Feb. 5, 2026

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Pizza Hut plans to close 250 underperforming U.S. restaurants in the first half of 2026 as its parent company, Yum Brands, considers selling the pizza chain. Yum Brands said the closures are part of a broader review of options for the struggling brand, which has seen its U.S. same-store sales decline 5% in 2025 while rival Domino's saw a 2.7% increase.

Why it matters

The planned Pizza Hut closures and potential sale reflect broader challenges facing the casual dining industry, including outdated stores, growing competition from delivery-focused chains, and changing consumer preferences. The move also highlights Yum Brands' efforts to streamline its portfolio and focus on its stronger performing brands like KFC and Taco Bell.

The details

Yum Brands said it is targeting underperforming Pizza Hut locations in the U.S., which has over 6,000 stores nationwide. Internationally, Pizza Hut's results have been stronger, with same-store sales up 1% in 2025, driven by growth in Asia, the Middle East, and Latin America. China is Pizza Hut's second-largest market outside the U.S., accounting for 19% of sales. Yum CEO Chris Turner said the company plans to complete its review of options for Pizza Hut this year, but declined to provide further updates on the process.

  • Pizza Hut plans to close 250 U.S. restaurants in the first half of 2026.
  • Pizza Hut's U.S. same-store sales fell 5% in 2025.
  • Domino's U.S. same-store sales were up 2.7% in the first nine months of 2025.

The players

Yum Brands

The parent company of Pizza Hut, KFC, Taco Bell, and Habit Burger & Grill, which is conducting a formal review of options for the Pizza Hut brand.

Chris Turner

The CEO of Yum Brands, who said the company plans to complete its review of options for Pizza Hut this year.

Domino's

The world's largest pizza company, which saw its U.S. same-store sales increase 2.7% in the first nine months of 2025.

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What they’re saying

“Yum CEO Chris Turner said Wednesday that the company plans to complete its review of options for Pizza Hut this year. He declined to share further updates on the process.”

— Chris Turner, CEO (ksgf.com)

What’s next

Yum Brands is expected to announce the results of its review of options for the Pizza Hut brand later this year.

The takeaway

The planned Pizza Hut closures and potential sale reflect the broader challenges facing the casual dining industry, including the need to adapt to changing consumer preferences and growing competition from delivery-focused chains. The move also highlights Yum Brands' efforts to streamline its portfolio and focus on its stronger performing brands.