Red Robin considers closing 70 locations amid financial woes

Company Overview - Red Robin is planning to potentially close 70 underperforming locations as part of its operational turnaround strategy [2] - The company recorded a loss of $32.4 million in the fourth quarter of fiscal 2024, largely due to the review of underperforming restaurants [2] - Red Robin plans to sell three properties in the first quarter of fiscal 2025, expecting to generate$5.8 million to help repay its debt [2] Industry Trends - The restaurant industry is witnessing a trend of closures among fast-food eateries due to financial difficulties, with many chains struggling after accumulating debt during the pandemic [5] - Consumer spending at restaurants has not returned to pre-pandemic levels, leading to declining traffic in the quick-service sector [5] - Other companies, such as TGI Friday's and Denny's, have also filed for bankruptcy protection, while some have reduced their footprint to adapt to the current market conditions [6]