Imagination Technologies share price jumps on more job cuts and more restructuring plans
Imagination Technologies is cutting a further 200 jobs from its global workforce with its latest restructuring efforts.
Shares of the UK chip maker, which counts Apple among its customers, jumped as much as 11 per cent in early morning trading after the company updated investors on its turnaround plan.
The firm aims to save a further £12.5m by April 2017, bringing the total to £27.5m, with the job cuts and either selling off or shutting down non-core assets to focus on three main areas of business – graphics and multimedia (PowerVR), processing (MIPS) and connectivity (Ensigma).
The latest job cuts follow 150 job losses, announced earlier this year, however it is looking to add 50 new roles to PowerVR.
“This swift and decisive action will put us back on a sound financial footing and will enable us to have the necessary resources to further strengthen our three core businesses. They are unaffected by these cuts," said interim chief executive Andrew Heath.
“The ongoing operational review will identify clearly where we need to focus, building on our current strengths and allocating the right capital to ensure growth and attractive returns.”
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