Twilio, the high-profile SaaS communications platform, announced it will be laying off 11% of its workforce. The news took the market and employees by surprise given Twilio’s continuing top-line growth, however, current macro conditions, in addition to declining share price, have “forced” CEO, Jeff Lawson to make the decision in an attempt to hit his 2023 profitability goals. The lay-offs (severance) will add to Twilio’s current restructuring costs of $70 million. Like many other pandemic-era, high-flying SaaS companies, Twilio must now provide investors with a clear, actionable, and timely pathway to profitability
Twilio Delivers a SaaS Margin Wake-up Call
