Luxury travel subscription service Inspirato announced on Wednesday that it’s laying off 12 percent of its workforce amid its struggles with lower-than-expected occupancy and disappointing sales.
“We took this step to help reduce costs as we manage Inspirato responsibly in the face of ongoing macroeconomic uncertainty,” co-founder and CEO Brent Handler said in a statement.
“We believe this reduction will help us achieve our goal of adjusted (earnings before interest, taxes, depreciation and amortization) breakeven in 2023.”
Inspirato reported a $7.3 million net loss during its most recent quarterly earnings call on Dec. 20, 2022. The company also said during the earnings call it anticipated a higher than expected loss for 2022 due to increased operating expenses and sluggish sales of its Pass program, which provides travelers access to luxury vacation homes and hotels.