Lightspeed to cut 280 jobs as it looks to turn profitable

(Reuters) - Canadian payments firm Lightspeed Commerce will cut about 280 jobs as part of a larger reorganization and cost-reduction plan, it said on Wednesday.

Job cuts have been casting a shadow over major sectors in early 2024, as a high interest rate environment and shaky economy have taken their toll.

Lightspeed's move will help reduce about 10% of its headcount-related operating expenses, the company said, adding that it would allow for investments in other areas and a profitable growth.

It expects the restructuring to be completed by the end of the first quarter of fiscal 2025, and would take a majority of related charges in the very same quarter.

Lightspeed also authorized a share repurchase of up to 10% of its total public float, representing a total value of $140 million.

In February, Lightspeed posted a net loss of $40.2 million for the third quarter of 2024, compared with a net loss of $814.8 million in the year-ago period.

(Reporting by Pritam Biswas in Bengaluru; Editing by Shailesh Kuber)