Bumble will lay off roughly 30% of its workforce, or 240 employees, according to a regulatory filing filed by the online dating company on Wednesday. 

The jobs cuts come as the company moves to reduce costs and refocus on growing its customer base. Bumble estimates the layoffs, which are slated to take place in the second half of the year, will save $40 million. The Texas-based company said it will reinvest most of that money into “product and technology development.” 

In announcing the decision to staff on Wednesday, Bumble CEO Whitney Wolfe Herd, who also co-founded Tinder, said the online dating business as is at an “inflection point.” 

“The reality is, we need to take decisive action to restructure to build a company that’s resilient, intentional and ready for the next decade,” she wrote in an email to Bumble employees. 

In a statement to CBS News, a Bumble spokesperson said the decision to reduce the company’s workforce is in line with the company’s strategic goals. 

“Our focus now is on moving forward in a way that strengthens our core business, continues to serve our members effectively and positions us for future growth,” the spokesperson said.

Bumble said in its securities filing that it will incur $13 million to $18 million in non-recurring charges for severance and other benefits paid out to impacted employees. Shares of the online dating company were up 21% in midday trading.

During a company earnings call in May, Herd acknowledged Bumble had lost traction with customers and said it was focusing on providing users with better matches. 

“We are accelerating our efforts to improve our member base and show members a more thoughtful selection of high-quality relevant profile,” Herd said at the time. 

“As we execute on our plans, we are very focused on building a sustainable revenue model with a healthy paying member base,” she added.