The restaurant industry endured a grueling climate throughout 2025. As dining costs climbed, many families pivoted toward home-cooked meals instead of eating out. 

SBUX stock is down in 2025. See the chart and price action here. 

Aside from July, customer traffic dropped consistently every single month, according to data from Black Box Intelligence and CNBC. 

The harsh economic climate forced several iconic brands to shrink their footprints. Here are the major chains that announced or completed significant closures this year:

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1. Denny’s Corp.  (NASDAQ:DENN)

The classic diner chain axed between 70 and 90 units during 2025. Sales dipped because morning diners sought cheaper fast-food alternatives instead of sit-down meals. By December, a group of private investors purchased the company for $620 million to help stabilize operations.

2. Starbucks Corp. (NASDAQ:SBUX)

The coffee titan executed a billion-dollar overhaul strategy over the past twelve months ...