Online brokerage firm Robinhood Markets will reportedly lay off approximately 150 full-time employees, 7% of its total workforce, in its third round of layoffs in just over a year.
According to an internal message from the company. seen Per The Wall Street Journal, Robinhood CFO Jason Warnick reportedly wrote that the cuts were being made to "adjust for volumes and better align team structures."
A Robinhood spokesperson neither confirmed nor denied the layoffs in comments to Cointelegraph, but stated:
โWe are ensuring operational excellence in the way we work together on an ongoing basis. In some cases, this may mean teams making changes based on volume, workload, organization design, and more.โ
The reported layoffs come just five days after Robinhood acquired credit card company X1 in a $95 million deal. Last year, Robinhood reduced its total workforce by 9% in april and lay off 23% of its remaining staff in August, as a decline in trading activity and dovish stock and crypto prices pushed profit margins down.
The two cuts meant the loss of more than 1,000 employees.
Related: Robinhood to End Support for 3 Tokens Named in SEC Lawsuits
In its peak in the second trimester As of 2021, Robinhood had 21.3 million active users and more than $565 million in revenue. Things have turned sour for the brokerage firm of late, with Robinhood's Results for the first quarter of 2023 showing a 44% decline in monthly active users and a 30% year-over-year decline in revenue.
Robinhood shares are currently changing hands for $9.63, up 18% for the year despite falling more than 82% from its all-time high, reached in August 2021.
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