Pagaya (NASDAQ:PGY) layoffs are a hot topic on Thursday after the technology company revealed plans to cut costs this year.
Reports claim that the Pagaya layoffs will affect roughly 100 employees. Most of those employees included in the layoffs are workers in Israel.
While Pagaya is headquartered in the U.S., only about 140 of its employees work in the country. Instead, the majority of its 540 workers are based in Israel. With these latest layoffs, the company is reducing its headcount by 20%.
Pagaya Layoffs Fuel Operating Cuts
The Pagaya layoffs were learned about at the same time that the company announced plans to reduce operating expenses. This has it planning to reduce its operating costs by $25 million this year.
In addition to that, Pagaya increased its adjusted EBITDA outlook range for the full year of 2024 to between $160 million and $200 million. This is a $10 million increase over its prior guidance.
Pagaya Chief Financial Officer Evangelos Perros said this about the new guidance:
“We continue to execute on our financial strategy, delivering strong unit economics, improved operating leverage, and efficient use of our capital […] We are raising our expectation for full-year 2024 Adjusted EBITDA, with the full impact of the cost savings expected to be realized in 2025.”
PGY stock is up 1.3% as of Thursday afternoon.
Investors will want to keep reading for more stock market news!
We have all of the hottest happenings traders need to know about on Thursday! A few examples include what’s going on with Nio (NYSE:NIO), Nvidia (NASDAQ:NVDA) and Freight Technologies (NASDAQ:FRGT) stock today. All of this info is good to go at the links below!
More Stock Market News for Thursday
- NIO Stock: Why Are Losses Growing at Nio? And What Comes Next?
- NVDA Stock Alert: DOJ Preps to Launch Antitrust Probe into Nvidia
- Why Is Freight Technologies (FRGT) Stock Up 86% Today?
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
