Latest news with #workforcereduction
Geek Wire
6 days ago
- Business
- Geek Wire
Microsoft cuts another 40 jobs in Washington state, continuing layoffs amid AI investment surge
Microsoft has laid off more than 15,000 people globally since May. (GeekWire File Photo / Todd Bishop) Microsoft laid off another 40 employees in Washington, bringing the total number of job cuts in its home state to 3,160 since May, according to a public filing. These latest cuts are on a much smaller scale than those made by Microsoft in May and July, when it eliminated 1,985 and 830 positions in the state, respectively, as part of broader layoffs that impacted more than 15,000 people globally. Microsoft confirmed that these cuts are separate from the prior reductions. The company declined to provide details about the teams, roles, or regions impacted. 'Organizational and workforce changes are a necessary and regular part of managing our business,' a Microsoft spokesperson said in a statement. 'We will continue to prioritize and invest in strategic growth areas for our future and in support of our customers and partners.' The company said it is providing severance packages and outplacement services to affected employees, including career counseling and job search support. Microsoft noted that some laid-off workers have transitioned to other roles at the company. The layoffs coincide with record capital spending on AI infrastructure, with the company investing more than $30 billion this quarter alone, in part to expand capacity for training and running AI models. Rising capital expenditures have created pressure to reduce operating costs through workforce reductions. The ongoing layoffs have created tension inside Microsoft's workplace culture, with some employees expressing concern about job insecurity and what some see as an erosion of the more compassionate environment under CEO Satya Nadella. In a company-wide memo July 24, Nadella acknowledged the 'uncertainty and seeming incongruence' of cutting jobs while simultaneously making record investments in AI infrastructure, calling the layoff decisions 'among the most difficult we have to make.' Microsoft's global headcount held steady at 228,000 over the past year, according to its annual 10-K filing. That reflected an initial round of layoffs in May, prior to larger cutbacks in July, even as the company continues to hire in some areas. The company briefly surpassed a $4 trillion market value after a blockbuster earnings report last week, becoming only the second company to reach that mark. Its stock closed Monday up 2.2%, at a market value of $3.98 trillion.
Bloomberg
28-07-2025
- Business
- Bloomberg
TCS to Slash 12,000 Jobs Globally Amid Tech Shift, Local Media Reports
Tata Consultancy Services Ltd., Asia's largest IT services firm, will reduce about 2% of its global workforce — as much as 12,000 roles — during the year to March 31, on account of skill gaps and rapid technological changes, Moneycontrol reported, citing the company's Chief Executive Officer. 'This will impact roughly 2% of our global workforce, primarily at middle and senior levels,' K Krithivasan, CEO, of the firm, said in response to emailed queries, according to the report published Sunday. TCS had 613,000 employees as of June 30, filings show.
CNA
27-07-2025
- Business
- CNA
Indian tech company TCS to cut workforce by 2%, affecting more than 12,000 jobs
BENGALURU :India's largest IT services provider Tata Consultancy Services will reduce its workforce by 2 per cent in its 2026 financial year, primarily affecting middle and senior management, the company said on Sunday. The company is retraining and redeploying staff as it enters new markets, invests in new technology and deploys AI, but about 12,200 jobs will be cut as part of the process, it said. "This transition is being planned with due care to ensure there is no impact on service delivery to our clients," the company added. India's $283 billion IT sector has had to contend with clients holding back non-essential technology spending because of weak demand, persistent inflation and lingering uncertainty over U.S. trade policies.
Wall Street Journal
23-07-2025
- Business
- Wall Street Journal
Lamb Weston Revenue Rises as Restructuring Underway
Lamb Weston Holdings LW 2.35%increase; green up pointing triangle plans to trim its workforce as part of a strategic plan to cut costs and improve its working capital. The French-fry maker on Wednesday said its cost-savings program is expected to deliver at least $250 million of annualized run-rate savings by the end of fiscal 2028. The cost savings include a workforce reduction of about 4%, which also reflects the elimination of certain unfilled positions, said the company.
Yahoo
28-06-2025
- Business
- Yahoo
Is BMBL Stock a Buy as Bumble Lays Off 30% of Staff?
On June 25, shares of social networking and dating app company Bumble (BMBL) surged 25% following a bold announcement that it would reduce its global workforce by about 30%. Greenlit by the board on June 23, the decision is part of a larger restructuring effort focused on streamlining operations and prioritizing long-term growth. Bumble anticipates one-time charges ranging between $13 million and $18 million, primarily covering severance packages, benefits, and other related expenses. Despite these upfront costs, Bumble expects annual savings of up to $40 million. The funds will be redirected into advancing product innovation and upgrading its technological infrastructure. Dear Nvidia Stock Fans, Watch This Event Today Closely Can Broadcom Stock Hit $400 in 2025? A $2 Billion Reason to Sell Super Micro Computer Stock Now Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Alongside the workforce reduction, Bumble has raised its second-quarter 2025 outlook. The upgraded forecast signals growing confidence in its ability to stabilize financially, even as the dating app industry grapples with challenges like user fatigue and a difficult macro environment. Investors will be watching closely to see whether BMBL stock's upward momentum can continue on the back of this more optimistic outlook. Based in Austin, Texas, Bumble operates two of the world's leading dating platforms: Bumble and Badoo. These apps boast millions of active users and rank among the highest-grossing in the sector. With a market capitalization of $673 million, Bumble positions itself as a platform committed to fostering equitable and healthy relationships. Despite the company's strong brand presence, shares have faced significant pressure over the past 52 weeks, plunging nearly 36%. However, BMBL stock has seen a notable turnaround in recent months, with shares climbing 40% over the past three months and rocketing 24% in just the last five trading days. BMBL stock trades at 6 times forward adjusted earnings and 0.50 times sales, well below industry averages. The steep discount hints at a rare value play, especially if the stock's turnaround gains traction. For investors seeking upside at a bargain, this pricing could be too attractive to pass up. Bumble's fiscal 2025 first-quarter results, released on May 7, painted a mixed picture but contained some silver linings. Revenue slid 7.7% year-over-year (YOY) to $247.1 million. However, the figure still managed to beat analyst expectations, which hovered around $246.5 million. Revenue from the flagship Bumble app fell 6.5% YOY to $201.8 million, while Badoo and other sources saw a sharper decline of 13% to $45.3 million. The firm's user base remained steady with about 4 million paying customers, but average revenue per paying user dipped to $20.24 from $21.84, signaling some pressure on monetization. Adjusted EBITDA dropped 13% YOY to $64.4 million during the quarter. Net earnings also took a 41.5% hit, falling to $19.8 million. EPS declined 31.6% YOY to $0.13, missing the consensus estimate of $0.16 and reflecting ongoing challenges in profitability. The balance sheet showed $202.2 million in cash and cash equivalents against a sizable debt load of $616.1 million as of March 31. Despite these hurdles, the company's outlook appears to be improving. For the second quarter, Bumble forecasts a range between $244 million and $249 million. This marks a notable increase from its previous estimate of $235 million to $243 million. Adjusted EBITDA guidance was also lifted alongside the job cuts, from an earlier range of $79 million to $84 million to a new target of $88 million to $93 million. Analysts have raised expectations for the second quarter as well, forecasting a 36.4% YOY increase in EPS to $0.30. Fiscal 2025 looks even more promising, with the bottom line projected to surge 118% to $0.86 per share. The growth trend is expected to continue into fiscal 2026, with EPS anticipated to rise by 10.5% to $0.95. These estimates suggest that Bumble's cost-cutting and reinvestment strategies may soon translate into stronger financial results. Currently, BMBL stock holds an overall analyst rating of 'Hold.' Among the 16 experts tracking the stock, only one issues a 'Strong Buy' recommendation and another leans toward 'Moderate Buy.' The majority, 12 analysts, maintain a 'Hold' stance while one analyst suggests a 'Moderate Sell' and another a 'Strong Sell" rating. The mixed sentiment reflects ongoing uncertainty about Bumble's ability to fully recover in a competitive market. Still, the Street-high price target sits at $9 per share, indicating potential upside of 38% from current levels. Should Bumble's restructuring and revised guidance translate into sustained growth, Bumble stock could capture investor interest and climb higher. On the date of publication, Aanchal Sugandh did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
