About 150 employees are being laid off, according to an internal company message By Hannah Miao and Angel Au-Yeung June 26, 2023 4:43 pm ET As of May, Robinhood had fewer than 11 million monthly active users. PHOTO: GABBY JONES/BLOOMBERG NEWS Robinhood Markets is cutting about 7% of its full-time staff, the online brokerage’s third round of layoffs in just over a year as the company adjusts to a slowdown in customer trading activity. About 150 employees are being laid off, according to an internal company message seen by The Wall Street Journal. The layoffs were made to “adjust to volumes and to better align team structures,” Chief Financial Officer Jason Warnick said in the message. Robinhood cut more than 1,000 jobs in two rounds of layoffs last year. As of the end of 2022, Robinhood had about 2,300 full-time employees, according to its annual report. “We’re ensuring operational excellence in how we work together on an ongoing basis. In some cases, this may mean teams make changes based on volume, workload, org design, and more,” a Robinhood spokesperson said in a statement Monday. The restructuring affected roles in customer experience and platform shared services; customer trust and safety; and safety and productivity. The company experienced an uptick in employees voluntarily leaving the company and declines in reported employee job satisfaction in the time immediately after the layoffs last April and August, Robinhood said in its last quarterly report. The latest round of layoffs occurred less than a week after Robinhood announced an agreement to acquire credit-card startup X1 in a $95 million cash deal. The deal marks Robinhood’s latest move to expand product offerings beyond trading. Robinhood ushered in a free stock trading phenomenon during the Covid-19 pandemic, thanks to its easy-to-use, mobile-first online brokerage platform. By the second quarter of 2021—Robinhood’s best, according to public filings—the company boasted more than 21 million monthly active users, who flocked to the app to trade stocks, options and cryptocurrencies. As of May, Robinhood had fewer than 11 million monthly active users. Transaction-based revenue in the first quarter dropped 5% year over year and was more than halved from the first quarter of 2021. Shares of Robinhood are up about 18% this year, but down about 86% from their record high notched shortly after the company’s public debut in 2021.
Good thing the founders & insiders already cashed out to the tune of nine figures or they’d be in deep doodoo about now.
Automatization, and robotization... Bots are everywhere... or maybe somone believes that price will go up forever.
%% OK\ looks good for those buying @$ $7.77 area , monthly lows. Not a prediction or a gamble or stock tip