Rising expenses and a shifting economic climate are prompting many U.S. restaurant brands to make bold moves to stay profitable. This often means closing underperforming locations and concentrating on top-performing restaurants.
Among these is Outback Steakhouse’s parent company, Bloomin’ Brands, whose turnaround strategy will bring major changes to the chain.
Outback Steakhouse to Witness Major Changes Soon
Outback Steakhouse has long been a favorite among American diners, known for its casual steakhouse fare. Unfortunately, fans are soon going to witness some locations shutting down.
Bloomin’ Brands, Outback’s parent company, is implementing a major turnaround strategy to strengthen the brand. Following its 2025 Q3 financial report, the company announced plans to reduce losses and streamline operations. To do so, it has decided to close some underperforming locations of its flagship brand, Outback Steakhouse.
While closing underperforming locations, the brand will also refocus on the restaurants that will remain open. These restaurants will undergo several changes to ensure better service, customer satisfaction, and experience.
Over 40 Outback Steakhouse Locations to Close Soon
Based on the financial report released by Bloomin’ Brands, Outback Steakhouse will witness several closures. Over 40 locations will close in the upcoming period to ensure reduced losses for the company. Among these, 21 locations will shut down immediately.
Another 20 restaurants will close as their leases expire and will not be renewed. The brand will focus on removing only weaker units so that the remaining restaurants can perform better. Apart from these closures, the company has also suspended dividends to free up cash for the investments needed to remodel the open restaurants.
Future of the Remaining Locations
While over 40 restaurants will face closure, more than 600 Outback Steakhouse locations still remain. These will be put in the center of the turnaround strategy, as the company will invest both time and money to bring significant changes. Millions will be invested in the brand’s steak quality, service, training, and marketing.
For customers, this means better food quality and execution, service, refreshed interiors, and smarter marketing. The restaurants will be remodeled to improve customer experience and service flow. The company aims to implement these changes to all remaining Outback Steakhouse locations by 2028.
The changes will take time to be noticed; however, these are essential investments for long-term gains. While these improvements can certainly change the look of the restaurants, only time will tell how beneficial these prove to be for the company as a whole.
