Subway stated this past Tuesday that it is considering selling the company.
Subway, based in Milford, Connecticut, has been under private ownership since it was founded in 1965. The brand has grown tremendously since then, now serving subs at 37,000 outlets in over 100 countries.
The company released a statement on its website saying that there is no certainty regarding the sale. J.P. Morgan is aiding Subway with advising throughout the sale process.
Though still immensely popular, Subway has been losing market share the past few years, primarily due to rivals like Panera and Firehouse Subs coming more into the spotlight.
However, recently Subway emerged from its slump. The company reported that 2022 was a record year, marking its eighth consecutive quarter of same-store sales growth.
In the years between 2017 and 2021, the brand started renovations and began upgrading parts of its menu. Subway also grew internationally, contributing to the rebound. In 2022, North American sales rose by 7.8% from 2021.
This was more than the brand had anticipated. Subway said that sales exceeded projections by more than $700 million.
Entering into the app realm of fast food has also helped the company. In 2022, its sales through the app or third-party services doubled when compared to sales in 2021. It was able to open over 750 restaurant locations last year alone.
The company is also introducing meat slicers this year. In the past, storefronts were shipped pre-sliced meat.
CEO John Chidsey told CNN that this move was, at least in part, due to the fact that they were one of the few sandwich shops that did not slice meat in-house. “Not only does it give the guest a better perception of seeing the nice, fluffy meat, but we save a lot of money since we were paying a lot of money to have it sliced upstream,” he stated.
Subway plans to reinvest its earnings into some new menu changes coming out this summer.
