Robinhood Plans to Cut 10% of Employees, Anticipates Approximately $28 Million in Restructuring Costs

According to Reuters, U.S. online trading platform Robinhood has announced it will lay off about 10% of its full-time employees and close the remaining small number of open positions. The company expects this adjustment will incur approximately $20 million in restructuring costs, primarily for employee severance and benefits, along with approximately $8 million in stock-based compensation expenses. These costs are expected to be recognized in the second quarter.

Following the announcement, Robinhood's stock rose 1.3% in pre-market trading.