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Red Robin has joined the growing list of struggling restaurant chains after revealing plans to close dozens of locations nationwide - but the burger brand insists the downsizing is part of a broader turnaround, not the beginning of the end.
Most recently, its longtime restaurant in Cary, North Carolina, shuttered as part of a restructuring effort that could see up to 50 underperforming locations close across the country, according to TheStreet.
The chain, which has been serving burgers since the 1960s, has struggled to regain its footing since the COVID-19 pandemic as rising costs and shifting consumer habits weighed on sales.
Red Robin first launched its 'North Star' turnaround strategy in 2023, then accelerated the effort in July 2025 with its 'First Choice' plan, an overhaul designed to make the brand customers' go-to destination for burgers.
While the closures have fueled concerns about the company's future, early signs suggest the strategy may finally be paying off, with the company reporting improving sales and profitability as it works to revive the iconic chain.
As part of its plan, the company has made clear it is focusing on closing underperforming locations and leaning into franchising.
Since rolling out its turnaround strategy in 2025, Red Robin has closed 23 company-owned restaurants, sold roughly 100 locations to franchise operators and plans to shutter another 20 underperforming stores in 2026.
The company has also made progress on its balance sheet, paying down more than $20 million in debt as part of the overhaul.
While store closures can alarm customers, they are a common feature of corporate turnaround efforts.
Many major restaurant chains have trimmed their footprints in recent years - including Starbucks, which closed stores as part of a broader restructuring aimed at improving long-term performance.
Early results suggest Red Robin's turnaround efforts are gaining traction. The company's sales and earnings improved throughout 2025, while its stock surged in early 2026 as investors responded positively to signs of a recovery.
The stronger performance also prompted management to scale back some of its planned closures.
While the company initially identified around 70 restaurants for possible closure, improving results allowed roughly 20 locations to remain open.
Red Robin has not provided a final tally of how many restaurants it ultimately expects to shutter, saying it will continue evaluating underperforming stores as its turnaround progresses.
However, its separate campaign to make its menu items more affordable appears to be drawing in customers.
The Big Yummm value meals were rolled out in early 2026, offering customers meals priced at $10. This rollout awarded Red Robin the title of one of the most affordable sit-down chain restaurants in 2026, according to Tasting Table.
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