This Old-School Burger Chain Is Closing Locations To Stay Afloat In 2026

It's never fun to see a once-beloved restaurant chain struggle, especially when that entails it becoming less accessible to the handful of fans who remain loyal to it. While this was widespread back in 2024, when many restaurants experienced massive location closings, Jack in the Box apparently isn't done trimming the fat. The California-based chain is set to close down 200 locations in the near future to balance out its poor finances in recent years.

These closures are set to occur in blocks, with anywhere from 80 to 120 locations that the chain deems to be underperforming expected to close by the end of this year and additional closings poised to take place next year. This comes, in part, as a result of the chain's 7.4% sales decrease in its most recent earnings report, but it's been a long time coming in a way, especially considering that there have been many signs that Jack in the Box has been struggling for a while now. The location closings come as a part of the Jack On Track initiative, which is being carried out by the restaurant establishment in an attempt to restore healthy profits and pay off its debt in the coming years.

What the Jack in the Box closures mean for the fast food industry

Now, while Jack in the Box isn't necessarily a great indicator of fast food chains across the country due to its relatively concentrated consumer base (the vast majority of its locations being in Texas, California, and other Western states), it's important to note that some of its most recent struggles coincide with a sharp decline in fast food customers in general due to the current economy in the United States. Many fast food chains are facing a decrease in sales as low-income consumers continue to eat out less and less, largely due to rising prices throughout the industry. This has caused great uncertainty for both fast food and casual dining chains this year, leading many restaurants to make big changes in 2025 to entice customers, expand reach, or (in the case of Jack in the Box and its fellow downsizing chain Wendy's) trim the fat on less profitable locations.

Nevertheless, this will be a big hit to the overall reach that Jack in the Box has, with the chain's current standing of over 2,100 active locations across 24 states now expected to plummet below 2,000 in total. However, the chain is hoping to benefit from this diminished location count, with 2026 poised to be a rebuilding year for the now 75-year-old fast food restaurant.

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