LendingTree eliminated over 30% of its jobs in the past year, company says
LendingTree, a Charlotte-based marketer of online loans, said this week it had reduced its workforce by over 30% in the past year and noted it was confronting “a difficult revenue environment.”
The job losses were cited in a news release about its third-quarter earnings report, which ended Sept. 30. LendingTree saw a 35% drop in third-quarter total revenue when compared to the same quarter last year, with revenue at $155 million now.
More than 1,250 people were employed by LendingTree last year, according to Macrotrends, an online database.
LendingTree has roughly 865 employees now, with approximately 350 based in the Charlotte area, spokeswoman Megan Grueling said.
Grueling said she did not have the exact number of jobs lost to layoffs versus attrition, but noted that most of the layoffs were made in the first quarter of the year. She said the company does not have plans for future job cuts at this time.
And Grueling noted that LendingTree cited expense discipline and reduced operating expenses in its latest earnings report.
“We have reduced headcount by over 30% from a year ago. Our annualized operating expenses are now running below 2019 levels,“ CFO Trent Ziegler said in the news release. “We have strategically simplified our business while focusing resources on improving our core marketplace.”
This includes revamping its TreeQual platform, a connection for credit card issuers and members to show custom pre-approved offers.
“We remained soundly profitable with a strong balance sheet,” CEO Doug Lebda stated, “despite the significant revenue challenges we’ve been navigating over the last few quarters.”
Also in its third-quarter news release, LendingTree noted it revised downward its financial outlook for the full year in 2023. It’s now citing revenue outlook of $670 million to $680 million, compared to the prior outlook of $680 million to $700 million.
Layoffs continue around Charlotte
LendingTree is one of several financial institutions with a presence in Charlotte that has been cutting jobs this year.
In October, Ally Financial announced a 5% reduction companywide.
Wells Fargo, a San Francisco-based bank with its largest employee base in Charlotte, reported layoffs and a decrease in office space, while Charlotte-based Truist announced $750 million in cost reductions and layoffs.
More on LendingTree
LendingTree was founded in 1996 by Lebda.
The online financial platform provides customers with access to loans, credit cards, insurance and other needs through a network with more than 600 financial partners.
In 2021, LendingTree moved its headquarters from the Ballantyne area and relocated to South End near South Tryon Street and West Carson Boulevard. During that time, LendingTree said it had 633 Charlotte-based employees and expected to add more than 500 people locally over the next four years.
This story was originally published November 2, 2023 at 12:52 PM.
