Papa John’s plans to cut costs by closing 300 underperforming pizza restaurants by the end of 2027.
Officials with Papa John’s said the company will shutter 200 sites by the end of 2026 and another 100 by the end of next year. The company also plans to cut 7% of its corporate workforce, according to Restaurant Business.
In March 2025, Papa John’s had 104,000 corporate and in-store employees around the world, according to a regulatory filing. As of Dec. 28, there were 6,083 Papa John’s restaurants open in 50 countries and territories.
The Atlanta-based Papa John’s said it believes optimizing its store footprint will ultimately lift sales.
Papa John’s did not reveal which restaurants they plan to close.
High Desert pizza lovers
In the High Desert, there are Papa John’s stores in Apple Valley, Hesperia and Victorville.
Several High Desert residents shared their thoughts about Papa John’s, including Kim Klein, who said she hope’s local company stores are spared from the chopping block.
“I remember as a kid, my parents ordered Papa John’s for a family party. My cousin and I ate an entire pizza because it was so good,” said Klein, who lives in Victorville. “I loved Papa John’s then, and I love them now, although three slices is my limit now.”
Austin Cook of Victorville told the Daily Press that it’s “easy to forget about Papa John’s” among the many other pizza restaurant options in the High Desert.
“The last time I ordered a pizza from Papa John’s or Little Caesars was like 2010,” Cook said. “Sometimes I forget they’re still in business.”
Cook said his favorite pizza is from Pizza Factory in Phelan and Nick’s Pizza in Apple Valley.
Julia Cortez, who frequents the Papa John’s in Apple Valley, said she hopes the High Desert stores are spared.
Shifting sales
Thanawala said the restaurants targeted for closure are not meeting brand expectations or lack a path to financial improvement. In other cases, closing the location would likely shift its sales to a nearby restaurant.
During the last quarter of 2025, North America same-store sales for Papa John’s fell 5.5%, dragged by a 5.5% decline in transactions.
In fiscal 2025, the pizza chain lost market share in the U.S. Average profitability of U.S. corporate restaurants decreased from $150,000 to $135,000.
Thanawala added that the stores are also mostly franchise-owned, have been open for more than a decade, garner an average unit volume under $600,000, and are mostly seeing negative profitability.
Thanawala said that while store profitability among U.S. stores has been challenged over the past two years by food costs, labor, and fixed cost leverage, Papa John’s expects to see at least 2% improvement over the medium term thanks to supply chain savings, operational efficiency, and market optimization. He added that better profitability will lead to accelerated unit expansion, QSR reported.
Daily Press reporter Rene Ray De La Cruz may be reached at RDeLaCruz@VVDailyPress.com. Follow him on X @DP_ReneDeLaCruz
This article originally appeared on Victorville Daily Press: Papa John’s to close 300 pizza shops. What about High Desert locations?
Reporting by Rene Ray De La Cruz, Victorville Daily Press / Victorville Daily Press
USA TODAY Network via Reuters Connect
