Subway Closes 729 U.S. Stores Amid Franchise Challenges
Subway closed over 700 US stores as franchise model faces strain
Fox Business
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Subway closed a net of 729 locations in the U.S. in 2025, marking its largest decline in years. The total number of restaurants has dropped to fewer than 19,000, despite a reported net income increase to $688 million. The company anticipates opening around 100 new locations in the coming year.
- 01Subway's U.S. locations fell to under 19,000 after closing 729 stores in 2025.
- 02The chain reported a net income of $688 million, up from $397 million in 2024.
- 03Franchise revenue declined by over 6% to $767 million despite the income increase.
- 04Subway opened 499 locations last year, with many being former closures.
- 05The company has signed 93 franchise agreements and plans to open about 100 new locations.
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In 2025, Subway experienced a significant contraction, closing 729 U.S. locations, the largest drop in years, reducing its total to fewer than 19,000 restaurants. Despite this decline, the chain reported a net income of $688 million, an increase from $397 million in 2024. However, total franchise revenue fell by more than 6% to $767 million. The company opened 499 new locations, with many being previously closed units, indicating a strategic shift. Looking ahead, Subway has signed 93 franchise agreements and aims to open approximately 100 new stores in the coming year, signaling a cautious optimism amid ongoing challenges in the franchise model.
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The closures could affect local economies by reducing job opportunities and impacting suppliers linked to these stores.
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