Pizza Hut to Close 250 U.S. Locations as Yum Brands Weighs Sale

2 Min Read

Pizza Hut plans to shut down 250 restaurants across the United States during the first half of this year as its parent company, Yum Brands, continues to explore options for the struggling pizza chain, including a potential sale.

Yum Brands said Wednesday that the closures will focus on underperforming locations. Pizza Hut currently operates more than 6,000 restaurants nationwide.

The Louisville, Kentucky-based company announced in November that it had begun a formal review of Pizza Hut’s future, citing aging restaurants and mounting competition in the U.S. market. Last year, Pizza Hut’s U.S. same-store sales (a key measure of performance at locations open at least a year) declined 5% according to the company.

Competitors have fared better. Domino’s, the world’s largest pizza chain, reported a 2.7% increase in U.S. same-store sales during the first nine months of last year, though it has not yet released full-year results.

Pizza Hut’s performance outside the U.S. has been more stable. International same-store sales rose 1% last year, driven by growth in Asia, the Middle East and Latin America. China remains Pizza Hut’s second-largest market after the U.S., accounting for 19% of total sales.

Yum Brands CEO Chris Turner said the company expects to complete its review of Pizza Hut later this year but declined to provide additional details.

By the end of 2025, Pizza Hut operated 19,974 restaurants worldwide, down 251 locations from the year before. While the chain opened nearly 1,200 new restaurants across 65 countries last year, overall closures exceeded new openings. Yum said Pizza Hut plans additional global expansion in 2026, though specifics were not disclosed.

Founded in 1958 in Wichita, Kansas, Pizza Hut was acquired by PepsiCo in 1977 before being spun off as part of Yum Brands in 1997. Yum Brands also owns KFC, Taco Bell and Habit Burger & Grill.

Share This Article