American Favorite Disappearing from 17 States

Papa Johns is quietly disappearing from communities across America as the once-dominant pizza chain shutters dozens of locations in a sweeping shake-up.

The company is moving ahead with plans to close roughly 300 North American restaurants by the end of 2027, with 44 stores already shut down across 17 states in the first quarter alone, according to a Fast Company analysis of the chain’s financial filings.

The closures appear to be hitting some of the country’s biggest and fastest-growing markets, with Texas, California, Florida and Arizona seeing the highest number of shutdowns. Additional closures have also been reported in Michigan, North Carolina and Virginia.

The move comes as Papa Johns tries to clean up its struggling store base and fight back against brutal competition in the fast-food world, where customers are watching prices closely and restaurants are battling higher labor, supply and ingredient costs.

Papa Johns first warned in February that hundreds of underperforming restaurants would be phased out. The company said many of the targeted locations were franchise-owned, more than 10 years old and bringing in less than $600,000 in average annual sales.

Company leaders have framed the closures as a painful but necessary step to strengthen the brand.

Ravi Thanawala, Papa Johns’ chief financial officer, previously said the closures are expected to boost average sales volumes by at least 3% and improve the health of franchise operators by allowing them to focus resources on stronger locations and priority markets.

He said most Papa Johns restaurants around the world have performed well over the years, but the company believes closing weaker stores is one of the most effective ways to improve profitability.

Still, the shutdowns are only part of the bad news.

Papa Johns also laid off 7% of its corporate workforce, according to filings, signaling that the company’s restructuring is reaching beyond its storefronts and into its headquarters.

Wall Street has not been kind to the chain either. Shares of Papa Johns International were down roughly 21% for the year through Wednesday’s close. Over the past five years, the stock has plunged more than 69%.

The struggles come as America’s pizza industry faces a fierce identity crisis.

Pizza chains are no longer just battling each other. They are fighting for customers against burger joints, chicken chains, Mexican restaurants, coffee shops, delivery apps and cheaper grocery options. A recent Wall Street Journal report found that pizza restaurants are now outnumbered by Mexican restaurants and coffee shops nationwide.

Papa Johns is not alone in feeling the pressure.

Pizza Hut has also closed hundreds of locations, and its parent company, Yum! Brands, has reportedly explored a potential sale of the struggling chain.

For customers, the closures may mean one less familiar pizza counter in their neighborhood. For Papa Johns, it is a high-stakes attempt to shrink now and survive later.

But the message is clear: even one of America’s most recognizable pizza chains is not immune to the brutal shakeout hitting fast food.