Pizza chain closing up to 50 locations after years of declines

A large pizza concatenation is preparing to adjacent dozens of restaurants erstwhile again arsenic its genitor institution works to destruct underperforming locations pursuing what executives picture arsenic a "challenging period" for the business.

The restructuring is portion of a broader effort to amended the show of its corporate-owned restaurants, with the archetypal shutdowns expected to statesman during the week of July 13 and proceed implicit the adjacent respective months.

The determination comes arsenic pizza chains crossed the manufacture grapple with higher operating costs, shifting user spending, and aggravated competition. In caller months, brands including Pizza Hut and Papa Johns person besides announced important store closures arsenic they reshape their networks.

Now, different well-known pizza concatenation is joining a increasing database of brands reducing their edifice footprints.

Papa Murphy's confirms edifice closures

During MTY Group's second-quarter fiscal 2026 net call, CEO Eric Lefebvre said the institution plans to adjacent 68 underperforming corporate-owned restaurants implicit the adjacent six to 9 months.

Up to 50 of those locations are expected to beryllium Papa Murphy's restaurants, portion the remaining closures volition impact different MTY Group brands.

Here's immoderate of my erstwhile coverage of pizza concatenation closures:

• Beloved pizza concatenation that pioneered heavy crockery is closing

• Popular pizza concatenation closed dozens of restaurants globally

• After bankruptcy closures, pizza concatenation shares adjacent steps

Founded successful 1979, MTY Group (MTY) is 1 of North America's largest edifice franchisors, operating much than 80 edifice brands, including Papa Murphy's, Wetzel's Pretzels, Cold Stone Creamery, and others, crossed Canada, the U.S., and planetary markets.

Some restaurants are scheduled to adjacent permanently during the week of July 13, though Lefebvre said the institution is taking a measured attack to minimize disruption for employees, landlords, and suppliers.

"We've been dilatory but gradually disposing of immoderate stores wherever it makes consciousness for us," said Lefebvre. "It's not occurrence sale, but we're besides successful the process wherever we tin trim the firm store portfolio."

He added that further edifice closures stay imaginable if different locations proceed to underperform.

Why Papa Murphy's is closing stores

According to Lefebvre, the institution evaluated each edifice individually based connected its semipermanent fiscal outlook and section marketplace conditions. The locations selected for closure collectively generated much than CAD 10 cardinal successful losses.

"Where we saw a way to improve, we chose to proceed investing efforts into making our existing assets arsenic productive arsenic they tin be," said Lefebvre. "Where the fundamentals nary longer enactment that path, we made the determination to adjacent stores."