Block's stock price has fallen more than 32% in a year, and it will undergo its third round of large-scale layoffs for restructuring.

Led by Jack Dorsey, the fintech company Block is planning to initiate a new wave of layoffs, potentially affecting up to 10% of its entire workforce. Over the past year, Block’s stock price has fallen approximately 32%. This move is seen as part of Block’s ongoing restructuring of its organizational framework and cost adjustments. The related impact is expected to be disclosed in the fourth-quarter earnings report scheduled for February 26.

Block issues layoff notices to employees, affecting about 10% of staff

Bloomberg, citing sources familiar with the matter, reported that Block has begun notifying hundreds of employees that their positions may be eliminated following the annual performance review, with evaluations expected to continue through the end of February. The layoffs involve multiple teams and are not limited to a single department. Proportionally, up to about 10% of employees could be affected. Block has not yet issued an official response to the reports. The reports indicate that management links the layoffs to efforts to improve operational efficiency and streamline the organization as part of the annual workforce review.

According to reports, this round of layoffs comes less than a year after Block eliminated 931 positions in March 2025, and it is the third major workforce reduction following the cut of approximately 1,000 jobs in January 2024. Since 2024, Block has been continuously reorganizing its structure, attempting to integrate the business architectures of Cash App and Square, while reallocating resources to new projects viewed as having growth potential. The frequent personnel changes reflect the company’s ongoing search for a stable operational model and cost structure.

In recent years, Block has clearly adjusted its development direction. In November 2024, the company announced it would prioritize Bitcoin mining operations, gradually shut down its decentralized technology division TBD, and reduce investments in the music streaming platform Tidal, with layoffs accompanying these departmental cuts. Additionally, Block is developing an internal AI productivity tool called Goose to support engineering and operational workflows. During its investor day in November 2025, the company presented a three-year financial framework, projecting an approximate 15% annual gross profit growth rate by 2028.

Block stock price declines over 32%

Over the past 12 months, Block (NYSE: XYZ) stock has declined from a high of about $84.85, experiencing volatility, and by early February 2026, its price hovered around $56, representing an approximate 32% annual decline.

Although Block has raised its annual financial guidance in some areas, its profitability performance has remained volatile. In the third quarter, revenue and adjusted earnings per share (EPS) fell short of market expectations, with an adjusted diluted EPS of $0.54, compared to the Zacks Consensus Estimate of $0.63 (Source: Nasdaq).

In the past year, the company’s stock has decreased by about 32%. As of press time, the stock price is $57.47. The layoffs also occur amid a broader wave of layoffs in the U.S. tech industry. Block is scheduled to announce its Q4 earnings on February 26, and the market will continue to watch whether the restructuring and layoffs can provide a boost to the declining stock price.

This article about Block’s stock falling over 32% in a year and undergoing its third major restructuring first appeared on Chain News ABMedia.