Wendy's plans to close 140 additional underperforming restaurants by the end of the year

Wendy's revealed this week that it will be closing 140 of its locations in the upcoming months. However, the corporation announced that it would open an equivalent number of new restaurants in places where it thinks Wendy's can do better.

According to Kirk Tanner, president and CEO of Wendy's, the closing restaurants aren't doing as well as the others.

"They're just in locations that don't build our brands," Tanner said. "You look at a brand that's 55 years old and some of those restaurants are quite out of date."

A list of the locations scheduled to closure was not provided by the corporation. "It's not one particular area," Tanner stated.

Wendy’s “conducted a robust review of individual restaurants to ensure they meet our expectations for sales, have the profitability to fuel growth, and deliver the Wendy’s brand experience for customers,” he said. “Overall, Wendy’s system is incredibly healthy.”

Wendy's announced 100 closures in May; this round of closures is on top of those announcements.

The total number of Wendy's, which is approximately 6,000 in the US, isn't decreasing despite the rounds of closures. Based on the technologically advanced design unveiled in 2022, which features new pick-up windows, updated kitchen appliances, and a spruced-up interior, the business is constructing between 250 and 300 additional locations.

During Friday's noon session, Wendy's shares increased 3.5%.