Summary (tl;dr)

Papa Murphy's, the take-and-bake pizza chain, is trending due to plans by its parent company, MTY Group, to close up to 50 underperforming corporate-owned restaurants across the U.S. amid a challenging economic environment for the restaurant industry.

Essential Background

Papa Murphy's has faced declining store counts in recent years, with its total locations dropping from 1,168 in 2023 to 1,014 by 2025, primarily due to franchised unit closures. Approximately two years ago, MTY Group took control of several Papa Murphy's restaurants with the hope of a turnaround, but many of these locations continued to struggle.

The Full Story

The MTY Group announced a restructuring plan that includes closing 68 corporate-owned restaurants from its portfolio, with up to 50 of these being Papa Murphy's locations. These closures are set to begin the week of July 13, 2026, and will continue over the next six to nine months. The decision follows a review that found these specific restaurants collectively generated over CAD 10 million in losses and were deemed unsustainable. This move is part of a broader trend within the pizza industry, as other major chains like Pizza Hut and Papa Johns have also announced significant store reductions due to rising operating costs, increased competition, and changing consumer spending habits.

Why It Matters

These closures reflect the ongoing struggles within the broader restaurant industry, particularly for pizza chains, which are contending with higher food and labor costs, as well as cautious consumer spending. For customers, this means a reduction in accessible Papa Murphy's locations, while for employees, it signals potential job losses. The strategic decision to trim underperforming stores aims to improve MTY Group's overall financial performance and allow resources to be focused on more profitable locations and brands.

Geographic Location

• Grand Rapids, Kent County, Michigan, United States (closed Papa Murphy's locations)
• Kentwood, Kent County, Michigan, United States (closed Papa Murphy's location)
• Grand Haven, Ottawa County, Michigan, United States (closed Papa Murphy's location)
• Holland, Ottawa County, Michigan, United States (closed Papa Murphy's location)
• Jenison, Ottawa County, Michigan, United States (closed Papa Murphy's location)
• Muskegon, Muskegon County, Michigan, United States (closed Papa Murphy's location)