# Noodles & Company’s turnaround remains work in progress

> Noodles & Company’s financial recovery shows progress but debt and closures persist.
- Title: Noodles & Company’s turnaround remains work in progress
- Summary: Noodles & Company’s financial recovery shows progress but debt and closures persist.
- Keywords: noodles company, turnaround, store closures, debt, financial results, same-store sales, restaurant margins, portfolio optimization, Nation's Restaurant News
- Source: Nation's Restaurant News — https://nrn.com/fast-casual/noodles-company-s-financial-turnaround-remains-a-work-in-progress
- Read time: 1 min
- Topics: noodles company, turnaround, store closures, debt, financial results, same-store sales, restaurant margins, portfolio optimization, food, business
## Financial results mixed
Noodles & Company reported stronger traffic and sales growth but continued losses and debt.
## Third quarter results
Noodles & Company reported 9.5% same-store sales growth and 7.8% traffic increase for company-owned stores.
## Store closures
14 restaurants closed in the last quarter as part of portfolio optimization strategy.
## Debt and cash position
Company reported $101 million debt and $1.5 million available cash with 0.1% operating margins.
## Ramen platform success
Ramen launched as LTO in October 2025 and now permanent menu category due to popular demand.
## Eighth consecutive quarter
Noodles & Company achieved eighth consecutive quarter of positive same-store sales growth.
## AUVs and margins
AUVs increased by 15.2% while restaurant-level margins rose 3.5 points to 16.7%.
## 2026 closure target
Company plans to close 41 to 44 restaurants by end of 2026 with possible closures into 2027.
## CEO statement
CEO Joe Christina emphasized focus on organizational capabilities and financial discipline for continued growth.
## Stock reaction
Noodles stock dropped 12% after earnings report publication.
## Financial outlook
Company expects improved operating margins and reduced debt in 2027.
## Key takeaway

Noodles & Company reported stronger sales and traffic but continues to face debt and store closures as part of its turnaround strategy.