Cardlytics (NASDAQ: CDLX) plans 24% layoff with $2.3M restructuring costs

Rhea-AI Filing Summary

Cardlytics, Inc. announced a major cost-reduction plan that includes cutting approximately 90 full-time employees, about 24% of its current workforce. The company expects to record about $2.3 million in one-time charges for severance and related costs, mostly in the quarter ending December 31, 2025.

Management expects the workforce reduction and related cash payments to be substantially complete by the end of that quarter, and notes that actual expenses could differ. Cardlytics may also face additional costs, including possible impairment charges, related to this restructuring.

Positive

• None.

Negative

• Workforce reduction of approximately 24% as Cardlytics cuts about 90 full-time employees, signaling a significant downsizing that may affect operations and growth capacity.
• Restructuring and potential impairment costs including an estimated $2.3 million in severance-related charges, with the possibility of additional, currently unquantified costs such as impairment charges.

Insights

Equity analyst – technology and digital advertising

Cardlytics is executing a sizable 24% workforce reduction with $2.3M in restructuring charges.

Cardlytics is implementing a plan to reduce operating expenses by eliminating about 90 full-time roles, or roughly 24% of its workforce. The company estimates non-recurring severance and related charges of approximately $2.3 million, largely recognized in the quarter ending December 31, 2025.

The filing describes this move as part of broader cost-reduction initiatives intended to optimize the cost structure. However, management also highlights uncertainty: actual restructuring expenses may differ, and additional costs, including potential impairment charges, could arise from the actions taken.

Investors will likely focus on future filings covering the quarter ending December 31, 2025 to see the final restructuring cost, any impairment charges recorded, and how the reduced workforce affects revenue growth, margins, and the scalability of Cardlytics’ platform.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 1, 2025

CARDLYTICS, INC.

(Exact Name of Registrant as Specified in its Charter)

Delaware			001-38386						26-3039436
(State or other jurisdiction of incorporation or organization)			(Commission File Number)						(I.R.S. Employer Identification No.)
675 Ponce de Leon Avenue NE, Suite 4100			Atlanta			Georgia			30308
(Address of principal executive offices, including zip code)
			(888)			798-5802
(Registrant's telephone, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions:

☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐			Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:

Title of each class			Trading symbol			Name of each exchange on which registered
Common Stock			CDLX			The Nasdaq Stock Market LLC

 Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

ITEM 2.05 COSTS ASSOCIATED WITH EXIT OR DISPOSAL ACTIVITIES.

On October 1, 2025, Cardlytics, Inc. (the “Company”) committed to a plan to reduce its workforce by approximately 90 full-time employees, representing approximately 24% of the Company’s current workforce (the “Plan”). The Plan is intended to optimize the Company’s cost structure and is part of a broader cost-reduction initiative that also includes measures beyond full-time employee reductions.

The Company estimates that it will incur non-recurring charges of approximately $2.3 million in connection with the workforce reduction under the Plan, consisting of severance payments and related costs. The Company expects that the majority of the restructuring charges will be incurred in the fourth quarter ending December 31, 2025 and that the implementation of the workforce reduction, including cash payments, will be substantially complete by the end of the fourth quarter ending December 31, 2025.

The charges that the Company expects to incur are subject to a number of assumptions, and actual expenses may differ materially from the estimates disclosed above. The Company also may incur additional costs not currently contemplated due to events that may occur as a result of, or that are associated with, the actions described above, including potential impairment charges. The Company is not able to estimate the amount or range of amounts of such potential impairments as of the date of this Current Report on Form 8-K. If required, the Company will amend this Current Report on Form 8-K at such time as its management is able in good faith to estimate the amount, or range of amounts, of these charges.

Forward-Looking Statements

This Current Report on Form 8-K contains "forward-looking statements" within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to forward-looking statements related to the Company’s ability to achieve the anticipated benefits resulting from the Plan and the estimated charges associated with, and the timeframe for completion of, the Plan, as well as the Company’s broader cost-reduction initiatives. These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company’s control.

The Company’s actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to the risks detailed in the “Risk Factors” section of the Company’s Form 10-Q filed with the Securities and Exchange Commission on August 6, 2025 and in subsequent periodic reports that the Company files with the Securities and Exchange Commission.

The forward-looking statements included in this Current Report on Form 8-K represent the Company’s views as of the date hereof. The Company undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

ITEM 7.01 REGULATION FD DISCLOSURE.

On October 2, 2025, the Company issued a press release announcing the Plan. The Company’s press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.

The information included in this Item 7.01 and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.

ITEM 9.01    FINANCIAL STATEMENTS AND EXHIBITS

(d)    Exhibits

Exhibit						Exhibit Description
99.1						Press Release, dated October 2, 2025
104						The cover page from Cardlytics, Inc.’s Form 8-K filed on October 2, 2025, formatted in Inline XBRL.

SIGNATURES

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.

						Cardlytics, Inc.
Date:			October 2, 2025			By:			/s/ Alexis DeSieno
									Alexis DeSieno
									Chief Financial Officer (Principal Financial and Accounting Officer)

FAQ

What cost-cutting plan did Cardlytics (CDLX) announce in this 8-K?

Cardlytics announced a workforce reduction plan that cuts about 90 full-time employees, or roughly 24% of its current staff. The move is part of a broader cost-reduction initiative aimed at optimizing the company’s overall cost structure beyond just headcount reductions.

How many employees is Cardlytics (CDLX) laying off and what share of its workforce is this?

Cardlytics plans to reduce its workforce by approximately 90 full-time employees, representing about 24% of its current workforce. This indicates a sizable restructuring effort that could meaningfully change the company’s operating profile and organizational footprint going forward.

What restructuring charges will Cardlytics (CDLX) record from the layoffs?

Cardlytics expects to incur approximately $2.3 million in non-recurring charges tied to the layoffs. These costs mainly consist of severance payments and related expenses, and the company anticipates that most of these charges will be recognized in the quarter ending December 31, 2025.

When does Cardlytics (CDLX) expect to complete its workforce reduction plan?

Cardlytics expects the implementation of the workforce reduction, including related cash payments, to be substantially complete by the end of the quarter ending December 31, 2025. Most restructuring charges are also anticipated to occur within that same fourth-quarter timeframe, according to management’s current estimates.

Could Cardlytics (CDLX) incur additional costs beyond the $2.3 million estimate?

Yes. Cardlytics notes that actual restructuring expenses may differ materially from its $2.3 million estimate and that it may incur additional costs. These could include potential impairment charges associated with the actions taken under the broader cost-reduction and workforce reduction initiatives.

How did Cardlytics (CDLX) communicate the workforce plan to the market?

Cardlytics issued a press release on October 2, 2025 announcing the workforce reduction plan. That press release is furnished as Exhibit 99.1 to the 8-K and is treated as “furnished,” not “filed,” under the Securities Exchange Act, limiting related liability treatment.