Krispy Kreme is shuttering stores: Will the Illinois locations survive?

Krispy Kreme has closed eight stores this year and plans to close 14 more in 2023.

Photo byTim Mossholder on UnsplashonUnsplash

(CHICAGO) Despite a positive earnings report and a promising collaboration with McDonald's, Krispy Kreme plans to close 14 stores next year and has already shuttered eight of its locations in 2022.

More widely found in the South, there aren't many Krispy Kreme donut shops remaining in the Chicago area. According to Scrapehero.com, there are 361 Krispy Kreme locations overall in the nation. The states with the most stores are California, Florida, and Georgia. Illinois currently has eight locations.

The downtown Chicago Krispy Kreme shop is closed

In Chicagoland, the Krispy Kreme formerly located in the Loop on State Street is closed, according to the website. The remaining locations are in:

• Elk Grove Village
• Evergreen Park
• Hillside
• Homewood.

Whether these four Chicagoland Krispy Kreme shops will stay open is unknown at this time. It hasn't been announced yet which Krispy Kreme locations will be shuttered.

A strong earnings report for the donut shop

Despite the possible closings, Krispy Kreme reported a strong 2022. The store's revenue grew 10% over the year and in total has generated $1.52 billion in net revenue.

According to QSR Magazine, Krispy Kreme president and CEO Mike Tattersfield told investors on the Q3 earnings call, “We had positive organic growth in every country around the world, despite a tough macro environment."

As to why they are closing the 14 shops, Josh Charlesworth, Krispy Kreme’s global president, chief operating, and financial officer said on the earnings call, as reported by QSR, "All of these shops are low revenue."

Chicagoans love Dunkin Donuts

Fans of Krispy Kreme donuts love its unique flaky texture that melts in your mouth. However, in Chicago, it's Dunkin Donuts that reigns supreme. According to Scrapehero, There are 706 Dunkin Donut locations throughout Illinois, with 207 of those in Chicago.

If you're a Chicagoan with a love of the flaky, glazed Krispy Kreme donut, your best bet may be waiting to see what happens with the recent collaboration between McDonald's and Krispy Kreme. McDonald's is currently testing serving Krispy Kremes donuts at 9 locations in Kentucky and Indiana.

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