BILL Holdings Inc. filed SEC Form 8-K: Costs Associated with Exit or Disposal Activities
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Item 2.05 | Costs Associated with Exit or Disposal Activities. |
On December 5, 2023, BILL Holdings, Inc. (the “Company”) announced that it will reduce its global workforce by approximately 15%, close its office in Sydney, Australia, allocate resources to its key business priorities in service of small and midsize businesses and focus on improving the profitability of its core business (the “Restructuring”).
The Company estimates that it will incur charges of approximately $29 million to $35 million in connection with the Restructuring, primarily consisting of cash expenditures for severance payments, employee benefits and related costs, in addition to non-cash charges for stock-based compensation expense. The Company expects that the majority of these charges will be incurred in the three months ending December 31, 2023, and substantially all of these charges will have been incurred by June 30, 2024. The Company intends to exclude the charges associated with the Restructuring from its non-GAAP financial measures. The estimated charges are based on certain assumptions and compliance with local laws and regulations in various jurisdictions; actual amounts may differ materially from such estimates.
Forward-Looking Statements
This Current Report on Form 8-K contains forward-looking statements. All statements contained in this Current Report on Form 8-K other than statements of historical fact, including statements regarding the expected benefits of the Restructuring and the related charges the Company expects to incur, are forward-looking statements. The words “believe,” “may,” “will,” “potentially,” “estimate,” “continue,” “anticipate,” “intend,” “could,” “would,” “project,” “target,” “plan,” “expect,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors, including, but not limited to the difficulties in and effect of implementing the Restructuring, the risk that Restructuring and related charges may be greater than anticipated or not occur in the expected time frame, and the other risk factors set forth under the caption “Risk Factors” in the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2023 and the Company’s other filings filed with the Securities and Exchange Commission. All forward-looking statements herein are based on information available as of the date hereof. The Company assumes no obligation to update or revise the forward-looking statements contained herein in light of new information, future events, or otherwise.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
BILL HOLDINGS, INC. | ||||||
By: | /s/ John Rettig | |||||
John Rettig | ||||||
President and Chief Financial Officer |
Date: December 5, 2023