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Absolute Software Announces Workforce Restructuring

By: via Business Wire

Absolute Software™ (NASDAQ: ABST) (TSX: ABST) (the “Company”), the only provider of self-healing, intelligent security solutions, announced today that on April 4, 2023, the Company effected a restructuring plan (the “restructuring”) to lower the Company’s operating expenses. Pursuant to the restructuring, the Company reduced overall headcount by approximately 40 people, which represents approximately 5 percent of total employees, and will lead to office space reductions.

The Company estimates that it will incur non-recurring charges of approximately $1.8 million to $2.8 million in connection with the restructuring, primarily consisting of severance payments, notice pay, employee benefits contributions and related costs and impairment charges related to the exit and sublease, or cease use, of certain office facilities that the Company does not currently occupy. The Company expects that the majority of the restructuring charges will be incurred in the fourth quarter of fiscal 2023 and that the implementation of the headcount reductions, including cash payments, will be substantially complete by the end of the fourth quarter of fiscal 2023.

Potential position eliminations and office reductions are subject to legal requirements that vary by jurisdiction, which may extend this process beyond the fourth quarter of fiscal 2023 in certain cases. The charges that the Company expects to incur, and the timing thereof, are subject to a number of different assumptions, including legal requirements in various jurisdictions, and actual expenses may differ materially from the estimates disclosed above.

About Absolute Software

Absolute Software (NASDAQ: ABST) (TSX: ABST) is the only provider of self-healing, intelligent security solutions. Embedded in more than 600 million devices, Absolute is the only platform offering a permanent digital connection that intelligently and dynamically applies visibility, control and self-healing capabilities to endpoints, applications, and network connections - helping customers to strengthen cyber resilience against the escalating threat of ransomware and malicious attacks. Trusted by nearly 20,000 customers, G2 recognized Absolute as a Leader for the twelfth consecutive quarter in the Winter 2023 Grid® Report for Endpoint Management and as a Leader for the second consecutive quarter in the Grid Report for Zero Trust Networking.

©2023 Absolute Software Corporation. All rights reserved. ABSOLUTE, the ABSOLUTE logo, and NETMOTION are registered trademarks of Absolute Software Corporation or its subsidiaries. Other names or logos mentioned herein may be the trademarks of Absolute or their respective owners. The absence of the symbols ™ and ® in proximity to each trademark, or at all, herein is not a disclaimer of ownership of the related trademark.

Forward-Looking Statements

This press release contains certain forward-looking statements and forward-looking information, as defined under applicable securities laws (“forward looking statements”). Forward-looking statements in this news release include statements regarding the anticipated amount and timing of expenses and charges associated with our restructuring plan. Such statements and information are based on the current expectations of our management team, and are based on assumptions and subject to risks and uncertainties. Although we believe that the assumptions underlying these statements and information are reasonable, they may prove to be incorrect. Except as required by applicable securities laws, forward–looking statements and information speak only as of the date on which they are made, and we undertake no obligation to publicly update or revise any forward–looking statement or information, whether as a result of new information, future events or otherwise.

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