Outback Steakhouse Has Suddenly Closed 21 Restaurants — Here's What To Know

The Outback just got a little smaller. That's because Outback Steakhouse announced in its earnings call today that it has shuttered 21 locations this month alone as part of an effort to turn the chain around amid increasing competition, per CNN. CNN also reports that 22 other locations will eventually be closed through the next four years. The company's turnaround plan is going to take a few years to fully take effect, but it's expected to cost Outback $75 million to implement. Along the way, you should expect to see new menus featuring better-quality steaks along with more attentive service.

The surviving restaurants will also receive a makeover by the end of 2028, with brighter-looking interiors, smaller kitchens, and bigger order pickup stations. (I still don't understand the appeal of takeout steak, but that could just be me.) But while Outback is struggling, other chains like LongHorn and Texas Roadhouse are thriving. Both chains reported an increase of over 5% in sales in their latest earnings reports. That shouldn't come as a huge surprise, as Texas Roadhouse remains one of America's favorite dining chains and its reputation for affordable steaks (which keep increasing in price) continues to be a draw.

At its peak, Outback Steakhouse had 775 locations (this would be in 2011). Little by little, a decline in business steadily chipped away at its foundation, leaving it with around 650 locations today. That being said, 650 is not a tiny footprint and the company's new plan to tighten up operations and focus on takeout might inject some badly needed cash into the chain. Again, it faces some steep competition, because Texas Roadhouse has been pretty aggressive with its takeout game in the past few years. It doesn't help that other chain restaurants like Chili's are also gaining some serious ground, even competing with fast food giants like McDonald's.

Everyone likes a good redemption story, and Bloomin' Brands (Outback Steakhouse's parent company) clearly has a roadmap in mind. But for now, it's likely that you'll see less Outback locations before you see many more. In the coming years, the existing stores could look a lot different, but if the food and the service is better maybe it'll end up being a win-win situation for everyone involved.