Atlassian to Cut 10% of Staff, Record Up to $236 Million in Charges; Shares Rise After Hours

MT Newswires Live03-12

Atlassian (TEAM) plans to shed 10% of its workforce, or about 1,600 employees, as it shifts investment toward AI and enterprise sales.

Restructuring charges will total $225 million to $236 million, including $169 million to $174 million in severance, notice-period, employee-transition, and benefits costs, and $56 million to $62 million in office-space exit charges, the company said Wednesday in a regulatory filing.

Most of these charges will be incurred in fiscal Q3, the company said.

As part of the restructuring, Rajeev Rajan will step down as chief technology officer, effective March 31, the company said.

Atlassian shares rose 1.9% in after-hours trading.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment