Branch lays off staff despite posting $30M profit

On Techpoint Digest, we discuss how Branch laid off staff despite posting $30 million in profit, Cameroon’s move to disconnect up to 700,000 unregistered phones, and the growing wave of violence targeting ride-hailing drivers in South Africa.

Labas,

Victoria from Techpoint here,

Here’s what I’ve got for you today:

Branch lays off staff despite posting $30M profit

Cameroon is about to disconnect 700,000 phones

South Africa’s ride-hailing violence is escalating

Branch lays off staff despite posting $30M profit

Image source: TechCabal

On April 17, 2026, Branch International carried out layoffs across its Kenya and Nigeria operations in a move that caught many employees off guard, even though the company says both markets were profitable. Staff were informed during a global all-hands meeting and immediately issued termination notices stating their last working day was the same day. The surprise wasn’t just the timing; it was the contrast with Branch’s own message: the company says it made around $30 million in global profit in 2025 and had strong cash reserves with no debt in its African units.

That contradiction is what’s driving the conversation. Branch insists the layoffs were not due to financial pressure but part of a broader restructuring. It did not disclose how many roles were affected or which teams were cut, but employees described the process as abrupt and unclear. Some said they only learned the full impact after individual notices went out, while the company framed it as a “difficult decision to reduce headcount across some markets.”

What’s filling in the gaps is the direction of the industry itself. Branch, like many fintechs, sits in a space increasingly shaped by automation, AI-driven credit scoring, and leaner operational models. In lending and neobanking especially, functions like risk assessment, customer support, and collections are becoming more automated, meaning fewer staff are needed to run larger customer bases. The company now serves over 13 million users across Africa and Asia, which adds to the sense that scale is growing even as headcount shrinks.

Branch’s evolution also matters here. Founded in 2015 as a mobile-first lender using phone data to judge creditworthiness, it has since expanded into a r...