Last September, I wrote that Twilio's (NYSE: TWLO) spending was "out of control." The communications software provider was spending heavily to drive growth under the guise that eventually, with enough scale, profits would come. But Twilio's gross margin had been deteriorating for years, and there was no reason to believe the company could grow its way out of its predicament.

Later in September, Twilio announced its first round of layoffs. The company disclosed it was parting ways with 11% of its workforce, although there wasn't much strategy behind the move other than to bring down costs.

On Monday, Twilio unveiled a much broader restructuring plan aimed at pushing the company toward a sustainably profitable future.

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Source Fool.com