Grocery Outlet announced it is closing 36 stores this year, including 8 in Maryland.
The discount chain, headquartered in Emeryville, California, is scaling back a growth plan after reporting a $224.9 million net loss in fiscal year 2025.
The company announced the closures on Wednesday in its fourth-quarter and fiscal 2025 financial results.
CEO Jason Potter pointed to several factors behind the struggles, including delays in federally funded benefit programs like the Supplemental Nutrition Assistance Program. The company noted that many of its core customers rely on programs like this.
Grocery Outlet opened its first Maryland location in Hagerstown in June 2022. Since then, 14 more locations have opened in the state, and now 8 of those are closing. The most recent one opened last January on Belair road and that is also slated for closure. The stores in the area that will remain open are in Glen Burnie, Beltsville, Milford Mill, Eldersburg, Edgewood, Elkton, and Salisbury.
Stores are also closing in California, Idaho, New Jersey, Ohio, and Pennsylvania.
The chain is offering the stores on the closure list for sublease through Gordon Brothers management company.
Looking ahead to fiscal year 2026, Grocery Outlet is projecting net sales of between $4.60 billion and $4.72 billion, with comparable store sales potentially declining as much as 2%
Despite the closures this year, the company does still plan to open 30 to 33 new stores, but it is a pullback from the original plan.
Stores in Maryland that are closing:
- Chesaco Ave, Baltimore
- 6510 Baltimore National Pike, Suite A, Catonsville
- 598 Cranbrook Road, Cockeysville
- 5410 Lynx Lane, Columbia
- 1713 Massey Blvd, Hagerstown
- 7660 Belair Road, Nottingham
- 11120 Reisterstown Road, Owings Mills
- 200 Clifton Blvd., Westminster
