Block said Thursday it's laying off more than 4,000 employees, or about half of its head count.

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Block (formerly Square) announced layoffs of over 4,000 employees, nearly half its global workforce, reducing headcount from 10,000+ to under 6,000. CEO Jack Dorsey cited AI-driven efficiency gains as the primary driver, stating he expects most companies to make similar structural changes within a year. The stock surged as much as 24% in extended trading. The company also reported Q4 earnings in line with analyst expectations, with gross profit up 24% year-over-year, and issued full-year EPS guidance of $3.66 versus analyst estimates of $3.22. Block expects $450–$500 million in restructuring charges, mostly in Q1.

Block shares soar as much as 24% as company slashes workforce by nearly half