Spring-based Hewlett Packard Enterprise has revealed it is set to lay off an estimated 2,500 workers following disappointing economic performance. The company—which employs about 2,000 people in the Houston area— announced it would reduce operating costs by cutting about 5 percent of its workforce through layoffs and attrition over the next 18 months.

HPE plans to cut about 2,500 employees over the next 18 months to reduce costs, despite a revenue increase of 16.9% in the recent quarter. The exact impact on Houston staff is unspecified.

Hewlett Packard Enterprise ( HPE -15.84%) stock collapsed in a 15.2% rout (through 9:50 a.m. ET) this morning after reporting mixed earnings last night, and forecasting a significantly worse 2025 than most Wall Street analysts had been expecting.

The technology company in recent years relocated its corporate headquarters from Silicon Valley to the Houston area.

StockNews.com cut shares of Hewlett Packard Enterprise (NYSE:HPE – Free Report) from a buy rating to a hold rating in a report released on Friday morning. Other equities research analysts also recently issued research reports about the stock.

The stock of Hewlett Packard Enterprise (HPE) is down 17% after the information technology (IT) company reported mixed financials results and