Should be interesting.
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Plus you build an office in Virginia when 70% of the remaining HQ employees live in MD, announce a return to office and watch people leave so you don’t have to pay severance and hire younger cheaper replacements.
Listening to the call yesterday and they mentioned offshoring more functions absolutely destroyed what was left of my morale. Coupled with the executive bonuses and the stark lack of innovation and adaptability to the changing market. I have zero faith in this company. This place hit the iceberg awhile ago now, it's almost time this ship splits in half.
The downside of remote work and not having to go into the office has always been that it gives companies a chance to offshore for a fraction of the price. I doesnt matter if you're in Capetown or based out of the US and Capetown is much cheaper.
If you read the earnings transcript, leadership flat-out states the plan is to move jobs out of US to SA because it is "a lower cost area" (along with using AI in marketing and in operations at the "start of student interaction", i.e. admissions) while also putting a number on other G&A reductions (which would include just general layoffs).
Earnings call presentation
https://seekingalpha.com/article/4688811-2u-inc-2024-q1-results-earnings-call-presentation
Cope. What are you all talking about. %17 decrease in revenue is horrible. projected 100 million + operating loss. But go ahead and buy stock I guess.
The turnaround plan is starting to show results.
Surprisingly not terrible results, all things considered.
Should be brief!
"Should be wild"