Autodesk shares went up 3% on Thursday. The rise came after the company announced plans to cut around 1,000 jobs. This equals about 7% of its total workforce worldwide.
Autodesk is based in San Rafael, California. The company said the job cuts are part of the final stage of its sales and marketing changes. Most of the impact will be on customer facing sales roles.
Autodesk said some of the money saved will be used again inside the business. It plans to invest in key areas over the next few years. This will continue through its financial year ending January 31, 2027.
The company expects to take restructuring costs between $135 million and $160 million. A large portion of this cost will be recorded in the fourth quarter of fiscal year 2026. That quarter ends on January 31, 2026.
CEO Andrew Anagnost explained the decision in a letter to employees. He said the changes are driven by three main goals. These include finishing the company’s sales transformation, growing AI and platform capabilities, and improving internal functions.
He also made it clear that this will not happen every year. He said the cuts are not due to outside market pressure. He added that the company is not replacing people with AI.
Autodesk also shared strong business results for the latest quarter. It said several key numbers are now expected to beat earlier forecasts. This includes revenue, profit margins, earnings per share, and free cash flow.
The company said restructuring costs will be excluded from non GAAP results. Autodesk expects to finish the entire restructuring plan by the end of fiscal year 2027.