(Reuters) - Snap Inc (N:SNAP) on Friday said it cut 7 percent of its global workforce in March, as disclosed by it in a regulatory filing https://www.sec.gov/Archives/edgar/data/1564408/000156459018007282/0001564590-18-007282-index.htm.
The social media company said it would incur about $10 million of cash expenditure due to severance costs to be reflected in the current quarter ending March 31.
As a result of the layoffs, primarily in its engineering and sales teams, the company said it sees savings of about $25 million in 2018.
The company had said it had 3,069 employees as of Dec. 31, 2017, according to its annual filing https://
The Snapchat parent has been under pressure from investors to reduce costs after revenue fell short of analyst expectations during Snap's first year as a publicly traded company.
Earlier this month, a company memo had shown that the company would cut just over 120 engineers and reorganize its engineering team, Reuters reported.
The Southern California-based company said the workforce reduction "is to align resources around our top strategic priorities and to reflect structural changes in our business."
