Red Robin Gourmet Burgers is considering closing as many as 15 locations as part of its ongoing efforts to recover post-COVID. During the company’s earnings call in February, CEO G.J. Hart stated, “While our improvement has been substantial, we have not yet reached the potential of our iconic brand and expect to drive further traffic improvements in 2025.”
Hart revealed that Red Robin is evaluating 70 underperforming restaurants out of its approximately 500 properties to determine which ones to close. According to Nation’s Restaurant News, “Ten to 15 restaurants are expected to close in 2025.”
The company reported a nearly $40 million loss during the fourth quarter of 2024 and a total loss of $77.5 million for the year. Hart explained that the closures are expected to highlight the strength of the remaining restaurants and free up cash to reinvest in the business. He stated, “We believe the expected closure of a majority of these restaurants will allow the strength of our remaining portfolio to become clear over time and free cash that we expect to reinvest in the business.”
— news from OregonLive