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1&1 announces restructuring program at 1&1 Versatel, resulting in around €60m of one-off expenses in 2026 and €25m annual earnings contribution from 2028
- 1&1 has approved a comprehensive overhaul of 1&1 Versatel, including streamlining of organisational and workforce structures.
- The restructuring will result in workforce reduction from the current levels of around 1,350 to about 1,000 full-time employees.
- As a result, 1&1 will incur one-off expenses of around €60 million in 2026, reducing the guided EBITDA to around €740 million.
- The company expects the restructuring to contribute around €25 million annually to earnings from the 2028 financial year onward.
- 1&1 shares fell 2.3% while United Internet shares are little changed following the announcement.
- There was also a recent report indicating 1&1 is reducing the number of employees as AI drives “enormous” efficiency gains.