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Innodata Stock Plummets 28% on Reports of Layoffs in India and Philippines
Innodata (NASDAQ: INOD) shares plunged on Tuesday after reports emerged that the artificial intelligence services company conducted significant layoffs at its operations in India and the Philippines. The sell-off reflects investor reaction to the news of a substantial workforce reduction.
Steepest Decline Since Early 2024
The company's stock fell by as much as 28% during Tuesday's trading, according to Investing.com. This represents the largest intraday percentage decline for Innodata shares since February 2024.
The sharp drop was a direct response to media reports concerning the company's staffing levels in key overseas locations, which prompted immediate concern among investors.
AdLayoffs Center on Asian Operations
The sell-off was triggered by a report from India Today, which alleged that Innodata had laid off nearly 550 employees in India. The report also stated that the company had implemented an unspecified number of job cuts in the Philippines.
According to India Today, Innodata had not issued an official statement on the matter at the time of its report. The lack of immediate company comment leaves the full scope and rationale for the reported cuts unconfirmed.
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