Twilio's stock slides 2% after company announces to cut 5% of workforce

Twilio Inc.'s stock (TWLO) fell 2% early Monday, after the cloud computing company said it plans to cut 5% of its global workforce and book $25 million to $35 million in severance charges. The company's most recent filing with the Securities and Exchange Commission shows it had 5,905 employees as of Sept. 30, 2023. The company expects to book most of those charges in the fourth quarter and the plan should be completed by the end of the first quarter of 2024. The company said it's backing guidance for the fourth quarter and fiscal year that was provided in November. Chief Executive Jeff Lawson said workers will be informed of their status by email within the next two hours. The stock has gained 36% in the year to date, while the S&P 500 has gained 19.7%.

-Ciara Linnane

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12-04-23 1018ET

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