The Clap
Robinhood is eliminating 23% of its workforce after a difficult year following its IPO.
The Deets
Robinhood cut 780 staff members (around 23% of the workforce). These staff cuts were primarily in the operations, marketing, & program management departments.
Robinhood reported a net loss for Q2-2022 of $295 million and a decrease in revenue of 44%, reaching $318 million.
Backstory
Robinhood IPO’ed in July 2021 following an increased interest in trading during the pandemic.
Shortly after, the business slumped and there were fewer monthly active users on the app.
In April 2022, Robinhood cut 9% of its staff. The increased interest in trading pushed Robinhood to overhire and when this trading boom didn’t last, they began to suffer.
Robinhood shrinks workforce ✂️
