DocuSign will lay off 9% of its workforce as part of a major restructuring plan, the company announced Wednesday.
The plan is designed to support the company’s growth and profitability objectives and improve its operating margin. As of January, DocuSign had 7,461 employees, and it said the restructuring plan will largely be complete by the end of fiscal year 2023.
Shares of DocuSign closed up 5.09% on Wednesday.
It expects to incur charges between $30 million and $40 million, largely in the third and fourth quarter of fiscal 2023, as part of the changes.
The electronic signature software maker enjoyed a wave of greater interest among investors during the Covid pandemic as consumers and corporate workers became more reliant on digital ways to sign documents. But the interest has died down, and shares have fallen 65% so far this year.
