DMTK - DermTech announces restructuring to focus on its Melanoma Test lays off 15% of workforce

2023-06-28 17:04:56 ET

DermTech ( NASDAQ: DMTK ) said on Wednesday that it would suspending all of its pipeline programs, and focusing its resources on increasing DermTech Melanoma Test (DMT) billable samples and expanding payer coverage.

The company's shares jumped +15.6% in after hours trading.

As a result of its restructuring actions, the company will layoff about 40 employees, representing about 15% of its workforce. Streamlining operations will mainly impact sales, marketing and G&A functions.

The company expects annualized savings of $25 million - $35 million after completing the restructuring plan. It expects to take a one-time restructuring charge of about $2 million in the second-quarter.

DermTech expects its cash resources of $108.4 million will be enough to fund its operations into the first-quarter of 2025.

For further details see: