Snap is cutting 10% of its workforce as part of a restructuring plan, the Snapchat parent said Monday. Snap stock retreated in morning trades.
The social networking company said the job cuts were meant to enable Snap "to execute on our highest priorities," the company said in a filing with the Securities and Exchange Commission.
"To ensure we have the capacity to invest incrementally to support our growth, we have made the difficult decision to restructure our team," the company filing said.
Snap had roughly 5,300 employees as of Q3 last year.
The company is set to report fourth-quarter results on Tuesday. Analysts expect Snap to post earnings of 6 cents a share on revenue of $1.38 billion.
Snap stock has been consolidating with a buy point of $17.90, according to IBD MarketSmith. The shares slipped around 2% to 16.70 Monday morning.
