Mastercard to Lay Off 4% of Workforce Amid Business Restructuring

Mastercard is set to reduce its global workforce by 4% as part of a significant business overhaul, according to reports. This decision was discussed by Chief Financial Officer Sachin Mehra during a conference call with analysts, where he mentioned that the company expects to incur about $200 million in one-time restructuring charges in the first quarter.

As per estimates from ETHRWorld, this move might impact over 1,400 jobs from a total workforce of roughly 35,300, which was reported in annual statements as of December 2024. It’s interesting, though, that these layoffs come at a time when the company is actually experiencing revenue growth.

For the fiscal year ending in April 2025, Mastercard reported a net income of $4.1 billion, showing a robust increase of 22% from the previous year’s $3.3 billion. Their net revenue reached $8.8 billion for the three months ending December 31, 2025, marking an 18% rise compared to the same period in 2024.

This revenue boost was driven by heightened activity in cross-border payments and steady growth in value-added services. However, these gains were somewhat countered by a 10% rise in operating expenses, which the company linked to increased acquisition-related costs and administrative expenses.

When looking at the broader business, payment network net revenue saw a 12% year-on-year increase. In contrast, revenue from value-added services and solutions experienced even faster growth, up 26% year over year. The gross dollar trading volume grew by 7% in local currency terms, reaching $2.82 trillion in the quarter.

In particular, cross-border volumes surged by 14%, while exchange transactions rose by 10% compared to the same timeframe in 2024. Operating income for the quarter hit $4.9 billion, up 25% from the prior year, with an improved operating margin raising it by 320 basis points to 55.8%.

As of the end of 2025, Mastercard’s cash and cash equivalents totaled $10.6 billion, with total assets reaching $54.2 billion, reflecting a 12.6% increase from the end of 2024.

Mastercard’s CEO, Michael Miebach, remarked that 2025 was another successful year, with net revenue rising 16% year-over-year and 15% on a currency-neutral basis. He highlighted the company’s accomplishments with programs like the Apple Card and substantial growth in value-added services, which saw increases of 23% and 21% on a currency-neutral basis.

Despite these changes, Miebach noted that the overall economic environment appears supportive, with healthy consumer and business spending. He believes that the combination of reliable technology, ongoing innovation, and strong partnerships will enhance their performance. Looking ahead, he conveyed optimism for 2026, stating that the company is well-prepared for upcoming opportunities.