CA Fast Food Giant To Close Hundreds Of Locations In 2026

Fast food giant Wendy's , which operates hundreds of California locations, will close approximately 5 to 6 percent of its restauarants nationwide.

With 5,969 locations across the country reported at the end of last year, that means nearly 360 Wendy's restaurants could shutter during the first half of this year. According to the chain's website, Wendy's currently has about 296 locations across the state.

"By closing consistently underperforming restaurants, we are enabling our franchisee partners to increase focus on locations with the greatest potential for profitable growth," Wendy's acting CEO Ken Cook said in an earnings call with investors on Friday.

The company plans to focuses instead on new menu items and spending "more towards digital, social and streaming platforms."

The changes in strategy, which include strengthening the fast food chain's value offerings, were discussed during the call following a weaker-than-expected fourth quarter.

According to the fast food chain, its revenue fell 5.5 percent in the fourth quarter to $543 million, with systemwide sales falling 3.5 percent in 2025.

"As we continued to incorporate learnings to enhance the menu, strengthen our marketing calendar and improve messaging and media effectiveness, we expect momentum to build sequentially as we move through 2026," Wendy's interim Chief Executive Officer Ken Cook said during the call.

Wendy's will highlight the new approach starting this month with the launch of a new cheesy bacon cheeseburger.

On a positive note, Wendy's said that new chicken tenders and an upgraded sauce lineup resonated with customers and boosted satisfaction last year. Menu additions feature the cheesy bacon cheeseburger, a chicken tenders ranch wrap and improved chicken sandwiches with bun upgrades, signaling a renewed focus on core burger and chicken platforms.

"In 2026, we will prioritize meaningful innovation across both hamburgers and chicken, focusing on launches that restaurants can execute with excellence while reinforcing our quality positioning," Cook said. "One learning from 2025 around value, we swung the pendulum too far towards limited-time price promotions instead of everyday value."

The shift in strategy, he noted, was introduced in January with a permanent "Bigger Deals" value menu with three price tiers: $4 Biggie Bites, $6 Biggie Bags and an $8 Biggie Bundle.

The actions come on top of the closure of 240 U.S. Wendy's locations in 2024.