Brief: Dropbox To Reduce Global Workforce By About 16%

Dropbox

27/04/2023 14:09

April 27 (Reuters) - Dropbox Inc  DBX.O :
    * DROPBOX INC: REDUCE OUR GLOBAL WORKFORCE BY ABOUT 16%, OR
500
DROPBOXERS
    * DROPBOX INC - ESTIMATES THAT IT WILL INCUR CHARGES OF
APPROXIMATELY $37 MILLION TO $42 MILLION IN CONNECTION WITH THE
REDUCTION IN FORCE
    * DROPBOX INC - EXPECTS THAT THE MAJORITY OF CHARGES IN
CONNECTION
WITH THE REDUCTION IN FORCE WILL BE INCURRED IN THE SECOND
QUARTER OF 2023
    * DROPBOX INC SAYS EXPECTS Q1 FINANCIAL RESULTS TO BE
IN-LINE OR
ABOVE ITS GUIDANCE RANGES
    * DROPBOX INC - INTENDS TO REINVEST SOME SAVINGS FROM CUT
INTO
FUTURE GROWTH INITIATIVES, WILL CONTINUE TO HIRE FOR ROLES
CRITICAL TO THOSE INITIATIVES
    * DROPBOX INC: WHILE OUR BUSINESS IS PROFITABLE, OUR GROWTH
HAS
BEEN SLOWING
    * DROPBOX INC: HEADWINDS FROM ECONOMIC DOWNTURN HAVE PUT
PRESSURE
ON OUR CUSTOMERS AND, IN TURN, ON OUR BUSINESS
    * DROPBOX INC- CONSOLIDATING OUR CORE AND DOCUMENT WORKFLOWS
BUSINESSES
    * DROPBOX INC: SOME INVESTMENTS THAT USED TO DELIVER
POSITIVE
RETURNS ARE NO LONGER SUSTAINABLE
    * DROPBOX INC - EXPECTS THAT SUBSTANTIALLY ALL OF CHARGES
RELATED
TO WORKFORCE REDUCTION WILL HAVE BEEN INCURRED BY THE END OF
2023
    * DROPBOX INC: OUR NEXT STAGE OF GROWTH REQUIRES A DIFFERENT
MIX
OF SKILL SETS, PARTICULARLY IN AI AND EARLY-STAGE PRODUCT
DEVELOPMENT
    * DROPBOX INC SAYS IMPACTED EMPLOYEES WILL BE ELIGIBLE FOR
SIXTEEN
WEEKS OF PAY, WITH ONE ADDITIONAL WEEK OF PAY FOR EACH COMPLETED
YEAR OF TENURE

Source text for Eikon:  ID: 
Further company coverage:  DBX.O 

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