TPI Composites (NASDAQ:TPIC) Announces Workforce Restructuring Plan in Türkiye

TPI Composites, Inc. (the Company) disclosed in an 8-K filing on December 26, 2024, its commitment to a restructuring plan aimed at rationalizing its workforce in Türkiye. This decision was prompted by a projected decrease in demand for wind blades in 2025, primarily destined for the European market and exacerbated by the hyperinflationary environment in Türkiye, as previously outlined in the Company’s Quarterly Report on Form 10-Q for the quarter concluded on September 30, 2024.

As part of the restructuring plan, the Company intends to reduce its workforce by approximately 20% at its Turkish manufacturing facilities. It estimates pre-tax charges for severance and other one-time termination benefits to fall within the range of $9 million to $11 million. These costs are anticipated to be incurred in January 2025.

Moreover, unforeseen events related to the restructuring may lead to additional charges or cash outflows that are currently not accounted for. The Company plans to exclude the charges associated with the restructuring plan from its non-GAAP financial measures.

The disclosures were accompanied by the Company’s statement of forward-looking statements, cautioning investors about potential risks, uncertainties, and factors that could significantly impact the Company’s actual results. TPI Composites emphasized its commitment to providing updates but underlined that actual results might differ from the forward-looking statements.

For further details on this matter, interested parties can refer to the Company’s reports filed with the U.S. Securities and Exchange Commission, including the Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, and the Annual Report on Form 10-K for the year ended December 31, 2023.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read TPI Composites’s 8K filing here.

About TPI Composites

TPI Composites, Inc manufactures and sells composite wind blades, and related precision molding and assembly systems to original equipment manufacturers (OEMs) in the United States, Mexico, Europe, the Middle East, Africa, and India. It also provides composite solutions for the automotive industry; and field service inspection and repair services comprising diagnostic, repair, and maintenance services for wind blades to OEM customers, and wind farm owners and operators.