Pizza Hut Franchise Cost and Profits in 2026
By FDDIQ Research Team | April 2026
Based on 2025 FDD Filing
Quick Summary
Cost Breakdown
| Fee | Amount |
|---|---|
| Franchise Fee | $5,000 |
| Total Investment Range | $50,800 - $304,000 |
| Midpoint Investment | $177,400 |
| Royalty Rate | 10.0% |
| Advertising Fund | 4.8% |
| Total Ongoing Fees | 14.8% |
Revenue and Profit Analysis
The median Pizza Hut franchise generates $969,232 in annual revenue. With estimated margins of 13%, that is approximately $126,000 in annual EBITDA.
Revenue per dollar invested: 5.46x.
Unit Count
Pizza Hut has 29 franchised units. Lost 28 net units
SBA Loan Performance
SBA default rate: 15.4% across 16 loans. This is above the franchise industry average (~7-8%).
Key Risk Factors
- Declining unit count (28 net closures)
- High sba default rate (15.4%)
Frequently Asked Questions
How much does a Pizza Hut franchise cost?
A Pizza Hut franchise requires a $5,000 franchise fee with total investment ranging from $50,800 to $304,000. The midpoint investment is approximately $177,400.
How much do Pizza Hut franchise owners make?
Based on the most recent FDD, the median Pizza Hut location generates $969,232 in annual revenue. With estimated industry margins of 13%, that translates to approximately $126,000 in EBITDA before debt service.
What is the Pizza Hut royalty rate?
Pizza Hut charges a 10% royalty on gross sales plus a 4.8% advertising fund, for a total ongoing fee burden of 14.8%.
Is a Pizza Hut franchise worth it?
Whether Pizza Hut is worth it depends on your market, experience, and financial goals. Key concerns include declining unit count (28 net closures), high SBA default rate (15.4%). The brand has been contracting with 28 net closures. The SBA loan default rate is 15.4%. Review the latest FDD thoroughly and validate with existing franchisees before investing.
What is the Pizza Hut franchise SBA loan default rate?
Based on SBA loan data, Pizza Hut has a 15.4% default rate across 16 loans. This is above the overall franchise industry average.
Want the full Pizza Hut FDD analysis?
Detailed financial data, Item 20 outlet counts, litigation history, and more.
View Full Pizza Hut ProfileRelated: All Blog Posts | Pizza Hut Profile | Learning Hub
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