Denny’s is shutting down more locations across the US, with around 30 additional restaurants expected to close in 2025, taking the total number of closures to over 180 since the company began its downsizing plans last year. The diner chain has already closed at least 88 restaurants by the end of 2024.
The company cited an “evolving market” as a major reason for the closures, with unprofitable locations due to changing consumer habits and expensive building renovations. This is not unique to Denny’s, as other chains like Domino’s are also facing similar struggles in Japan.
TGI Fridays, another popular chain restaurant, recently closed 49 US locations after experiencing declining business and is now facing bankruptcy. While Denny’s has successfully revitalized some underperforming restaurants through remodels, the process is expensive and only resulted in 24 successful revamps last year.
As the chain restaurant industry continues to face economic challenges, it remains to be seen whether Denny’s can avoid a similar fate. The company’s efforts to adapt to changing consumer habits will be crucial in determining its future success.
Source: https://finance.yahoo.com/news/beloved-diner-chain-just-announced-164452063.html