Bumble to Lay Off 30% of Workforce as Part of Major Restructuring Plan

Dating app company Bumble announced Tuesday through an SEC filing it will lay off 240 employees, about 30% of its global workforce. The company's board approved the cuts on June 23 as part of a major restructuring plan.

Bumble expects to save up to $40 million per year from the layoffs. Most of these savings will go back into improving the app and developing new technology, the company said in a filing with securities regulators.

How will it Impact Bumble Financially?

The layoffs will cost Bumble between $13 million and $18 million. This money will pay for employee severance packages and benefits. The company expects these costs to hit in the third and fourth quarters of this year.

Some layoffs may take longer in certain countries due to local employment laws, Bumble said.

CEO Whitney Wolfe Herd told employees in a message included in the SEC filing that the cuts are necessary to build "a company that's resilient, intentional, and ready for the next decade." 

She said that Bumble is "going back to a start-up mentality, rooted in an ownership mindset and team structures designed for faster, more meaningful execution."

Revised Quarterly Predictions

Bumble also raised its revenue forecast for the current quarter. The company now expects to bring in between $244 million and $249 million in revenue. It also expects adjusted earnings of $88 million to $93 million.

These numbers are higher than what Bumble predicted three months ago, when it expected revenue of $235 million to $243 million.

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