A vacuuming Roomba mannequin robotic is displayed at iRobot headquarters in Bedford, Massachusetts
Scott Eells | Bloomberg | Getty Images
Roomba maker iRobot on Monday introduced plans to chop round 7% of its workforce.
The cuts will have an effect on roughly 85 workers, iRobot mentioned in its fourth-quarter earnings report. The firm had 1,254 workers as of Dec. 31, 2022.
For the fourth quarter, the corporate posted $84.1 million in losses on $357.9 million in income. IRobot mentioned it expects to see “muted” orders within the first quarter of 2023.
IRobot is slicing workers whereas it is within the strategy of being acquired by Amazon. The e-commerce large introduced final August it could purchase iRobot for $1.7 billion, however the deal continues to be the topic of a Federal Trade Commission antitrust evaluation.
IRobot is becoming a member of a stream of tech firms which have introduced layoffs in latest months as rising rates of interest and slowing client demand have triggered fears of a recession and spurred firms to chop prices. Amazon laid off roughly 18,000 company staffers, whereas Meta, Google, Salesforce and others have introduced vital job cuts.
The iRobot cuts observe layoffs of about 100 workers in August when the corporate cited it is want to higher align its value construction with near-term income and money stream, in addition to to enhance profitability.
The newest cuts are being made “in anticipation that market conditions will remain challenging into 2023,” the corporate mentioned within the earnings launch. It will take a $4 million impairment cost on account of the layoffs.
IRobot shares had been down barely in prolonged buying and selling on Monday.
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Source: www.cnbc.com”