Pizza Hut to Close 250 Stores Amid Struggling Sales

Pizza Hut’s parent company, Yum Brands, is set to close 250 outlets across the United States as the restaurant continues to face difficulties with sales.

According to a recent report from the Associated Press, Yum Brands is targeting underperforming locations, with store closures anticipated in the near future. In November, the Louisville, Kentucky-based company had mentioned it was exploring various options for the Pizza Hut chain, which has been dealing with outdated restaurants and growing competition. Last year, the sales at U.S. stores that have been open for at least a year dropped by 5%.

Interestingly, Pizza Hut saw a slight sales increase of 1% in 2025, alongside growth in regions like Asia, the Middle East, and Latin America.

Despite the upcoming closures, which were reported by Fox Business, Yum Brands has announced robust earnings and raised its dividend. This indicates that the issues relating to Pizza Hut are more about brand-specific challenges than any broader troubles within the company.

Reports suggest that about 130 Pizza Huts across various states may close in 2024 due to management issues. It was noted that these franchises are operated by owners who filed for bankruptcy and put their locations up for sale in July. Furthermore, Daily Mail pointed out a financial dispute between Yum Brands and one of its franchisees, the EYM Group.

WHAS reported that there are approximately 20,000 Pizza Huts globally, with around 6,000 situated in the United States.

Pizza Hut originated in Wichita, Kansas, in 1958. PepsiCo took over the chain in 1977 but later spun off the restaurant division in 1997, leading to the formation of Yum Brands, which also owns other popular brands like KFC and Taco Bell.

In 1995, Donald Trump featured in a Pizza Hut commercial when the company unveiled its stuffed pizza offering.

As per a Fox article, these closures fall under the company’s “Hut Forward” initiative aimed at revitalizing the brand and enhancing franchise performance. The parent company hinted that it may also be exploring broader strategic options for Pizza Hut, indicating these changes could signify a significant shift for the brand.