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SolarEdge Technologies (NASDAQ:SEDG) -7.1% pre-market Monday after saying it plans to lay off 400 employees, including 200 in Israel, as it seeks to restore profitability; the company has said its workforce totaled 5,633 employees as of December 31.
In a letter to employees, SolarEdge (SEDG) CEO Zvi Lando said the company was taking action is response to a downturn in the market at the end of 2023 and beginning of this year, which has led to lower revenues and excess inventory.
The action is being taken across all departments, and includes a reduction in both headcount and discretionary spending, the CEO said.
The layoff is the company’s second wave of cuts this year, following the termination of 900 employees, or ~16% of the workforce, in January.
SolarEdge (SEDG) shares have slumped 65% so far this year and 89% over the last 12 months.