Noodles & Company to close over 30 restaurants in 2025
Fans of quick-service pasta dishes will have fewer places to grab their favourite bowls this year. Noodles & Company has confirmed that more than 30 locations will shut down by the end of 2025 as the chain faces mounting financial challenges.
A beloved brand feeling the heat
Founded in 1995, the Colorado-based chain quickly grew to more than 450 locations nationwide, serving up affordable dishes like its popular “delicious duo” — a small entrée, choice of protein, and side for $9.95.
But in its second-quarter earnings report on August 14, the company announced plans to close between 28 and 32 restaurants this year, with up to 17 more closures expected by 2026. The closures will mainly impact company-owned locations, though some franchised stores are also on the list.
Despite the shutdowns, the chain says it still plans to open two new locations during the same period.
Why are the restaurants closing?
The short answer: money troubles. Noodles & Company reported a net loss of $17.6 million, up from $13.6 million in 2024. Revenue also dipped slightly — down 0.7% to $126.4 million compared to last year’s $127.4 million.
CEO Drew Madsen, who recently announced he will step down, blamed slower-than-expected customer response to updated menu items and a challenging “value-conscious climate”.
“We’ve been moving decisively to address these factors, particularly around guest value perception,” Madsen said.
The company’s Chief Operating Officer, Joe Christina, will now take over as CEO. Madsen called him “absolutely the right leader to guide this brand forward.”
New menu, mixed results
To win back diners, Noodles & Company rolled out new dishes earlier this year, including Buffalo & Cheese pasta, Cajun Shrimp Fettuccine, Pulled Pork BBQ Mac & Cheese, and Green Goddess pasta.
The changes focused on more sauce, more vegetables, and premium ingredients to keep up with evolving customer tastes. Well, you should know that some early signs were promising — comparable sales jumped about 5% just one month after launch.
Still, the boost wasn’t enough to offset broader financial challenges, leading to the decision to close more stores than previously expected.
Noodles & company joins other chains facing cuts
The restaurant industry has been hit hard by rising costs and shifting dining habits, and Noodles & Company isn’t alone:
- Denny’s expects to close up to 150 locations by year’s end.
- Red Lobster is shutting over 100 stores nationwide under new leadership.
- TGI Friday’s has already closed 30 locations following a bankruptcy filing
- Applebee’s projects 20 to 35 closures but is experimenting with dual-branded stores alongside IHOP.
For Noodles & Company, nine locations closed in 2024, and the latest plan raises this year’s closure target from its previous estimate of 21 locations to as many as 32.
What It Means for Customers
If you’re a fan of the chain’s pasta bowls or salads, you may soon need to travel farther to find a store — or switch to another restaurant altogether. Locations haven’t all been named yet, so check with your local Noodles & Company to see if it’s affected.
The company insists it’s not walking away from growth and believes it’s positioning itself to “capitalise on significant opportunities ahead.” But for now, it’s trimming back its footprint to stabilise finances.
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