Lazard Ltd. LAZ said Friday it plans to reduce its work force by 10% in an effort to contain costs. Based on Lazard’s disclosed total employment of 3,402 workers as of Dec. 31, the bank will cut about 340 jobs. CEO Kenneth Jacobs said the bank’s asset management unit is “off to a solid start” for the year but said slower activity in the market for mergers and acquisitions resulted in “significantly lower revenue” for the bank while the outlook for 2023 remains uncertain. “We are implementing cost-saving initiatives to right-size for the current environment and provide flexibility to strategically invest in our business,” Jacobs said. Lazard reported an adjusted first-quarter loss of 26 cents a share, against an analyst estimate for a profit of 32 cents a share, according to estimates compiled by FactSet. Lazard’s first-quarter revenue fell 25% to $527 million, short of the analyst forecast of $534.2 million. Lazard stock is down 6.8% in 2023, compared to a 7.7% rise by the S&P 500 SPX.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.