Red Robin Gourmet Burgers is set to close up to 70 underperforming locations, which accounts for approximately 14% of its 498 outlets. The decision follows a review indicating these restaurants aren't meeting performance expectations. This year alone, the company may shut as many as 15 locations while assessing others over the next five years as their leases expire. Even though Red Robin reported significant losses, it also experienced a 19% increase in adjusted EBITDA for Q4 2024, suggesting promising cost-saving measures that could lead to future growth.
CEO G.J. Hart emphasized the company’s renewed focus on driving customer traffic, highlighting a notable improvement from the first to fourth quarter, marking a 600-basis-point jump.
Despite the challenges resulting from closures and a net loss, Red Robin's leadership remains optimistic that the strategic decisions made will pave the way for future growth.
Collection
[
|
...
]