Red Robin announced in March that it plans to close dozens of underperforming locations over the next several years.
ENGLEWOOD, Colo. — Red Robin, a popular national burger chain, has already shut down seven of its restaurants this year, with plans to close at least eight more by year’s end, as revealed during the company’s Q1 earnings call on Thursday, despite an increase in revenue.
Back in March, the chain disclosed its strategy to shut down several underperforming branches over the coming years, mainly as their lease agreements end. However, details regarding which locations will be impacted have not been released.
During the first quarter of 2025, Red Robin closed six of its company-operated outlets alongside one franchise location, according to their earnings report for that period.
There are now 401 company-owned locations and 90 franchise restaurants still open.
Todd Wilson, Red Robin’s chief financial officer, said on the call the company expects to operate 393 company-owned restaurants by the end of the year. He did not comment on which locations are set to close, or any more planned closures of franchise locations.
The chain did not open any new locations in the first quarter of 2025 or 2024, according to the earnings report.
The company also surprised investors by reporting a first-quarter profit of $1.2 million, compared to a net loss of $9.5 million last year. Revenue was up 1% year-over-year, with the increase attributed to a 6.8% menu price increase that offset declining guest traffic.
There are no more menu price increases expected for 2025, Wilson said.
“We anticipate absorbing the current expected impact of tariffs as we prioritize maintaining value for our guests,” he said.
Red Robin named a new president and CEO, David A. Pace, in late April.
“We are far from claiming victory and there is still more work to be done as we continue the comeback journey of Red Robin,” Pace said.
