Global research and data analytics company YouGov PLC (AIM:YOU) has announced a “cost-optimisation plan” that is expected to lead to £20 million in annualised cost savings.
YouGov did not explicitly announce headcount reductions, but declared “a reduction in support functions, discontinuing under-performing products, scaling back in certain non-core regions” and a cutting back of third-party supplier costs.
To help achieve this, YouGov, which had 1,820 employees as of 31 July 2023, also announced the acquisition of Yabble, a New Zealand-based technology company that uses generative artificial intelligence to deliver audience insights.
“We have been building towards this acquisition over the past six months and we're excited to welcome (co-founder and chief executive) Kathryn (Topp) and Yabble's team of world leading prompt engineers, machine learning experts and data and analytics professionals to YouGov," said YouGov chief executive Steve Hatch of the acquisition.
YouGov has struggled to achieve the growth plans it laid out in 2023.
In June, the company warned that full-year sales and profits will be lower than expected after sales bookings proved lower than expected after a disappointing first half.
In a trading update posted today, YouGov slightly upped its full-year revenue projections from £324-327 million previously. Operating profit is expected to be in the £43-46 million range, up from £41-44 million but still down from £48.3 million in 2023.
The trading update did not mention the prospect of a US listing, which has been rumoured since a Financial Times report in August 2023.