PHILADELPHIA (AP) — Online dating platform Bumble plans to lay off about 240 employees, or roughly 30% of its global workforce.

In a securities filing, Bumble disclosed that its board approved the cuts this week as it “realigns its operating structure to optimize execution on its strategic priorities.” The Austin, Texas-based company expects to see $40 million in annual cost savings spanning from the workforce reductions, much of which it says it will invest in product and technology development.

“These decisions were not made lightly, and we are deeply grateful for the contributions of every employee impacted," Bumble said in a statement sent to The Associated Press Wednesday — adding that it was now focused on “moving forward in a way that strengthens our core business” and "positions us for future growth.”

Shares for Bumble soared more than 23% following the news. Its stock traded at just over $6.40 as of Wednesday afternoon.

Bumble did not immediately specify when it would implement the layoffs or which roles would be affected. But its securities filing signaled that the process would extend into later in the year — noting that it expects to incur costs related to the layoffs, including severance for impacted employees, amounting to anywhere between $13 million to $18 million primarily in its third and fourth fiscal quarters.

In a note to employees Wednesday, Bumble CEO and founder Whitney Wolfe Herd wrote that “Bumble, like the online dating industry itself, is at an inflection point.” She noted that the company has been “rebuilding” in recent months, which “requires hard decisions.”

Wolfe Herd founded Bumble in 2014, just two years after co-founding Tinder in 2012. She had previously served as Bumble's CEO from 2020 through January 2024, and stepped back into the top seat in March.

Bumble has struggled on the market since going public in 2021. While shares popped up on Wednesday, its stock is still down more than 35% over the last year — and nearly 92% since its February 2021 debut.

In its most recent first quarter earnings, Bumble reported a total revenue of about $247 million — down nearly 8% from the same period a year ago. The company said Wednesday that it expects to rake between $244 million and $249 million for the second quarter of its 2025 fiscal year. That's up from previous estimates — but still lower than the $269 million it reported for its second quarter in 2024.