TEXAS – The restaurant chain Luby's is closing locations and laying people off.
- Closed 21 Luby's this year
- Struggling with debt and relevancy
- $33 million loss during frouth quarter
The Houston-based company Paradise Brands said it closed 21 restaurants in the past year and laid off corporate staff as well. Included in that number is several Fuddrucker's restaurants, which are owned by the same company as Luby’s.
The restaurants are in debt and struggling to remain relevant with customers favoring new fast-casual restaurants. So far there is no word on how many more restaurants they plan to close.
According to the NASDAQ, the total loss from continuing Luby’s operations during this fiscal year was $33 million. The operation loss is up from $22.8 million in 2017.
In the NASDAQ press release president and CEO Chris Pappas, said: “While we are not pleased with our financial results in the quarter or the fiscal year, we are taking actions to improve our financial results and restaurant operating performances.”