Payoneer cuts 6% of workforce as profitability pressures mount
Stock down 43% this year as the fintech restructures product and technology teams.
Israeli fintech company Payoneer will lay off about 30 employees from its 1,000-person workforce in Israel. According to estimates, a similar number of employees will be laid off abroad, bringing the total reduction to roughly 6% of the company’s global workforce.
People familiar with the company’s thinking attribute the cuts to ongoing organizational changes. With this move, Payoneer joins other Israeli companies traded on Wall Street, such as Mobileye, which is laying off 200 employees (about 4% of its workforce), in implementing end-of-2025 reductions aimed at improving profitability ahead of next year. Payoneer currently trades at a valuation of $2 billion, after its stock has fallen 43% since the start of the year.
The company has recently faced slowing growth and shrinking profitability. In the third quarter, Payoneer reported revenue of $271 million, up 9% from the same period last year, but net profit fell sharply to $14 million, a decline of more than 60% compared to the third quarter of 2024. Still, the company is expected to surpass $1 billion in annual revenue for the first time in its history this year. Payoneer develops solutions for managing and processing international payments for small and medium-sized businesses.
In response, Payoneer said: “As part of our multi-year transformation to become a product-oriented company, we are making structural changes to our product and technology teams. The changes stem from our transition to focused and efficient development teams, fewer interfaces, clearer ownership, and teams that will allow us to move faster and build higher-quality products. The changes will affect a small percentage of our team in Israel. Although these steps are necessary for future growth as an advanced and effective organization, Israel remains one of our important centers.”
