ChargePoint announces 10% workforce reduction and executive transition

ChargePoint Holdings, Inc. (NYSE:CHPT) announced a reorganization of its operations on Monday, including a reduction of its global workforce by approximately 10%. According to a statement based on a recent SEC filing, the company estimates restructuring costs associated with the reorganization to be about $6 million. These costs are expected to consist mainly of severance, employee benefits, and facility-related expenses, and will be incurred primarily during the second and third quarters of fiscal year 2027. ChargePoint expects to complete the reorganization during its third fiscal quarter. The cost-cutting measures come as the company carries $254 million in total debt while posting a net loss of $206 million over the last twelve months, according to InvestingPro data.

The company noted that actual restructuring costs could differ from current estimates due to factors such as local legal requirements and potential unanticipated events during implementation.

In addition, ChargePoint reported that John “David” Vice, the company’s Chief Revenue Officer, separated from his role effective Monday and is expected to depart after a four-month transition period. Upon completion of this period and subject to a general release of claims, Mr. Vice will be eligible for severance benefits under the company’s Executive Severance Plan, as previously described in its proxy statement filed with the SEC on May 28, 2026.

ChargePoint also reaffirmed its previous revenue guidance for the second quarter ended July 31, 2026, stating it expects revenue in the range of $100 million to $110 million.

All information is based on a press release statement and the company’s filing with the Securities and Exchange Commission.

In other recent news, ChargePoint Holdings Inc. has announced a collaboration with Onvo to deploy ultra-fast electric vehicle charging stations at travel plazas in the northeastern United States. This initial rollout will feature ChargePoint Express Plus fast charging stations at twelve Onvo locations in Pennsylvania and New York. Additionally, ChargePoint has expanded its partnership with Optimus Energy Solutions to introduce over 200 public charging ports in the southeastern United States, where ChargePoint will provide hardware, software, and services.

In a significant development, ChargePoint has been added to the Russell 2000 Index as part of the 2026 Russell indexes reconstitution, which also includes its addition to the appropriate growth and value indexes. This inclusion reflects ChargePoint’s position among small-cap U.S. stocks. Furthermore, UBS has raised its price target for ChargePoint to $8.00 from $7.00 while maintaining a Neutral rating. UBS revised its revenue estimates, projecting fiscal 2027 sales of $438 million, fiscal 2028 sales of $490 million, and fiscal 2029 sales of $603 million, with slight adjustments from previous projections.