Snapchat owner Snap Inc (SNAP.N) will cut just over 120 engineers and reorganize its engineering team, according to a company memo seen by Reuters on Thursday.

The maker of the smartphone app known for popularizing disappearing messages has been under pressure from investors to reduce costs after revenue fell short of analyst expectations during Snap's first year as a publicly traded company.

The Southern California company will offer a package of benefits to those being laid off, according to the memo from Jerry Hunter, senior vice president for engineering.

The layoffs were earlier reported by news website Cheddar.

Snap has scheduled a staff meeting for March 14 to explain the reorganization and answer employees' questions, according to the memo.

The shakeup "will unify the entire engineering organization" as a single team, Hunter wrote.