Weber Cutting 10% of Employees, Earnings Release Shows

Weber pulled the Band-Aid off and released earnings today for the quarter ended June 2022. As they indicated previously, sales and earnings were down year over year. In addition to releasing earnings, they rolled out their cost cutting strategy to recover from the poor earnings.

The cost cutting strategy is similar to Traeger’s, eliminating discretionary spending and layoffs. Weber is cutting 10% of employees and thinning out the management levels in an effort to increase innovation and speed to market with products. They expect these actions will yield a $110 million cash benefit in 2023 and continued benefits in the future years. Weber claims these cost cutting measure won’t effect their new product pipeline over the next 18 months.