Top executives have revealed that closing certain outlets is a strategic move aimed at bolstering financial stability and focusing resources on more profitable locations.
WASHINGTON — Noodles & Company has announced plans to shut down several dozen restaurants throughout the year as part of a broader initiative to enhance its financial health, despite reporting robust sales growth at the end of 2025.
According to a preliminary earnings report released on Monday, the Colorado-based chain intends to close an additional 30 to 35 restaurants in 2026. This decision comes after the closure of 42 locations in 2025, which included 33 company-owned outlets and nine franchised ones.
By the close of 2025, Noodles & Company was operating 340 company-owned restaurants alongside 83 franchised locations, as per the report.
This announcement was coupled with unexpectedly strong sales figures for the fourth quarter.
CEO Joe Christina highlighted that these closures form part of a comprehensive strategy to channel resources towards top-performing restaurants.
“Decisions like this are made thoughtfully and with a long-term view of the business,” Christina said in a statement. “When we concentrate our resources on restaurants with the strongest opportunity to perform, Noodles can drive meaningful top-line growth.
Christina said the company’s recent performance gives leadership confidence as it continues refining its restaurant portfolio this year. He added that the closures are intended to improve the overall health of the brand and position the company for profitable growth over the long term.
“These actions are intended to strengthen the overall health of the brand and our financial position, helping to ensure we are well-positioned for profitable growth and long-term value creation for our shareholders,” he added.
