Red Robin Gourmet Burgers and Brews, the popular burger chain, is currently evaluating the closure of approximately 70 of its underperforming locations across the United States due to ongoing financial difficulties. This decision comes as the company faces declining sales and a steep loss of $13.4 million in the last quarter of 2024, exceeding expectations. According to a statement made by Red Robin CEO G.J. Hart, ‘We are going to be strategically closing locations that are underperforming,’ indicating that the closures aim to enhance overall profitability. The closures could significantly impact employment across various regions, especially critical areas including Colorado, California, and states along the East Coast where many Red Robin outlets are located. Notably, the company still maintains a strong presence with over 400 restaurants nationwide. Analysts have observed that challenges such as inflation and shifting consumer preferences towards healthier dining options are influencing the restaurant industry’s landscape, contributing to Red Robin’s struggles. The company has also been working on new menu items and digital sales strategies as part of its effort to rebound from these financial issues.
Red Robin Considers Closing 70 Locations Amid Financial Woes
