MOSCOW, Jan 26 American International Business Machines (IBM) will cut its staff by 1.5%, which is approximately 3.9 thousand people, according to Bloomberg, citing the company's chief financial officer James Kavanaugh.
The cuts will affect approximately 3,900 people, chief financial officer James Kavanaugh said in an interview on Wednesday. The cuts will focus on workers left after the spin-off of Kyndryl and Watson Health and will cost the company approximately $300 million «, — reports the agency. The total number of employees of the company, according to Cavanaugh, is 260,000 people. Thus, the cuts will affect 1.5% of the state.
At the same time, the financial director of the company added that IBM will continue hiring employees in sectors with higher growth rates.
On Thursday night, IBM also published its financial results. At the end of the year, the company's net profit fell three and a half times, to $1.6 billion, while revenue, on the contrary, increased by 5.5% and amounted to $60.5 billion. In the fourth quarter, IBM's net profit increased by 16.2% to $2.7 billion, while revenue declined slightly to $16.7 billion, but was above the forecast of $16.1 billion.
Shares of IBM fell almost 2% after the close of the main trades.
International Business Machines is an American hardware and software company. The company operates in more than 175 countries.