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Red Robin is considering closing up to 70 underperforming restaurants, the chain revealed in its latest earnings report. The announcement came after Red Robin posted a $77.5 million net loss in 2024.
One restaurant already closed during the fourth quarter, the Colorado-based company said.
"While financial results for 2024 fell well below our original expectations, we've made substantial improvements to the guest experience and believe we still have a significant opportunity ahead of us to reach the full potential of our iconic brand," said CEO G.J. Hart.
Red Robin hasn't named specific restaurants that will close. Officials said struggling locations are being evaluated as their leases approach expiration.
A Red Robin restaurant in Tallahassee, Florida.
Red Robin's financial troubles mirror a larger trend in the restaurant industry.
Red Lobster, TGI Fridays, and Denny's are among the chains that have announced significant closings in recent months, citing declining in-person dining and rising costs. Denny's alone is expected to shut nearly 180 locations by the end of 2025.
Hart remained optimistic about Red Robin's overall future, saying the chain will focus on getting customers to return to restaurants for in-person dining and increase profits while improving the guest experience.
"2025 is off to a good start with the comparable restaurant revenue momentum we had exiting the fourth quarter, continuing through the first eight weeks of the first quarter," said Hart. "With the strategy we have in place, we believe we are well positioned to deliver significant value to our guests and shareholders alike."
Red Robin operates nearly 500 restaurants across the US and Canada.
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