Mastercard is laying off 4% of its workforce globally following a review of its business, as per a report by Reuters.
On a call with analysts, chief financial officer Sachin Mehra said: “Based on the recent strategic review of our business, we expect to record a one-time restructuring charge in Q1 of approximately $200 million.”
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According to ETHRWorld, the workforce reduction could affect more than 1,400 roles, based on the company’s reported global employee base of around 35,300 in its annual filing as of December 2024.
The move comes despite the payments major reporting earnings growth.
The company’s net income for the fourth of 2025 rose to $4.1bn, a surge of 22% from $3.3bn a year earlier.
Its net revenues for the three months to 31 December 2025 reached $8.8bn, up 18% compared with the same period in 2024.
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By GlobalDataThe performance benefitted from higher cross-border payment activity and continued expansion in value-added services revenues.
These gains were partly tempered by a 10% increase in operating expenses, which the firm attributed to costs related to acquisitions and higher administrative spending.
Across the business, payment network net revenues climbed 12% year on year.
Revenue from value-added services and solutions expanded at a faster pace, rising 26% over the prior-year quarter.
Gross dollar volume (GDV) increased 7% on a local-currency basis to $2.82tn in the quarter.
Cross-border volumes climbed 14% in local-currency terms, while switched transactions were 10% higher than in the corresponding period of 2024.
Operating income for the quarter stood at $4.9bn, up 25% year on year. Operating margin improved by 320 basis points to 55.8%.
At the end of 2025, Mastercard reported cash and cash equivalents of $10.6bn.
Total assets were $54.2bn, representing a 12.6% rise compared with the end of 2024.
Mastercard CEO Michael Miebach said: “2025 was another strong year for Mastercard, with net revenue up 16% year-over-year or 15% on a currency-neutral basis. We’re executing and winning with programmes like the Apple Card and robust growth in value-added services and solutions at 23%, or 21% currency-neutral.
“The overall macroeconomic environment is supportive and we continue to see healthy consumer and business spending. That, together with trusted technology, constant innovation, and deep partnerships, powers our performance. Focused, agile, and diversified, we’re well positioned for the opportunities ahead in 2026.”
