Block Stock Pops as Jack Dorsey's Bitcoin, Payments Company Dumps 4,000 Jobs

In brief

• Block expects most restructuring charges to land in the first quarter, driven by severance and share-based compensation costs.
• The company employed just over 10,200 workers at the end of 2025, highlighting the scale of the workforce reduction.
• Block’s business spans consumer and merchant payments through Cash App and Square, alongside a growing Bitcoin operation tied to trading and payments.

Jack Dorsey’s Block Inc said it will cut more than 4,000 jobs, over 40% of its workforce, as part of a broad restructuring unveiled alongside its fourth-quarter and full-year 2025 earnings. Shares of the New York Stock Exchange-listed payments company jumped more than 23% in after-hours trading, Yahoo Finance data shows. The scale of the layoffs places Block among the companies carrying out the largest workforce reductions in the fintech sector so far this year, as payments and financial technology firms grapple with slower growth, tighter capital conditions, and increased scrutiny of operating costs. 

In a 8-K filing with the Securities and Exchange Commission on Thursday, Block said the workforce reduction is intended to better align its organizational structure with its “operating model and strategic priorities.” Block said it expects to record between $450 million and $500 million in restructuring charges, largely related to severance, notice-period pay, employee benefits, and other cash costs, as well as non-cash expenses tied to the vesting of share-based awards.  Most of the charges are expected to be recognized in the first quarter of fiscal 2026, with the restructuring largely completed by the end of the second quarter. The company cautioned that the estimates are based on assumptions and that actual costs could differ materially.

As of the end of 2025, Block employed just over 10,200 full-time workers globally, according to its 10-K annual filing with the regulator, underscoring the scale of the cuts. Cash App had 59 million monthly transacting users in the U.S. at year-end, bringing in $316 billion of customer inflows during 2025, the filing shows. Block’s core business spans consumer and merchant payments through Cash App and Square, alongside a long-running push into Bitcoin products, including trading, self-custody, and merchant payments. Block now reports its business across three revenue categories: commerce enablement, financial services, and its Bitcoin ecosystem, which together generated $10.4 billion in gross profit in 2025, per its annual filing. Cash App had 59 million monthly transacting users in the U.S. at year-end, bringing in $316 billion of customer inflows during 2025. Block said it would hold an earnings conference call and webcast later Thursday to discuss its results for the quarter and year ended December 31, 2025.