Monday.com Faces Management Departures Amid AI Restructuring and Revenue Growth
Senior management departures hit Israeli software firm Monday.com amid an AI-focused restructuring and 20% workforce reduction, despite a 22% revenue rise in Q2 2026.
A wave of departures among senior management is expected at Israeli software company Monday.com in the coming period, driven by an organizational restructuring and a strategic focus on developing an AI-based work platform. According to information obtained by Calcalist, Orly Stern Yitzhaki (VP Product), Sergey Lyakhovitsky (VP Engineering), and Sithuon Amir (VP Product) are expected to leave the company within the coming month. Another manager scheduled to leave at the end of the month is Lior Zaguri (Senior Director of IT), who has been with the company for six years, following Liron Streichman (VP Engineering) who left last month.
Strategic Restructuring and AI Focus
These departures come on top of a broad organizational shift announced by Monday.com last July. The company announced a reduction of about 20% in its global workforce—an estimated 620 to 630 employees—as part of its strategic pivot from a software tool helping people manage their work to a platform where humans and artificial intelligence work together to execute tasks. According to the company, the move aims to create a leaner, more focused organizational structure while allowing continued investment in AI-related strategic fields. The company stated it intends to continue hiring in key areas throughout 2026.
Financial Performance and Market Challenges
In the second quarter of 2026, Monday.com recorded revenues of $364.6 million, an increase of about 22% compared to $299 million in the same quarter last year. In the first half of the year, revenues totaled approximately $715.9 million, compared to about $581.3 million in the parallel period in 2025—a growth of about 23%. Net income under GAAP principles reached $3.46 million in the second quarter, compared to $1.57 million in the corresponding quarter.
"Monday announced last summer an organizational restructuring process to prepare the company for the next phase of its growth. Processes of this type involve management decisions alongside personal choices by managers regarding their path forward," the company stated.
Despite revenue growth, the company's stock reflects ongoing challenges in the capital market. Monday.com shares, traded on NASDAQ under the ticker MNDY, closed on October 15 at $94.30, following a daily increase of about 7.8%. The company's market cap stood at approximately $4 billion. Despite the single-day gain, the stock has fallen by about 36% since the beginning of 2026 and by about 47% over the past year.
