Cue Health laid off one other 326 employees, or about 30% of the house diagnostics firm’s workforce, as a part of a brand new price discount plan.
The cuts mark a second spherical of layoffs this 12 months. In January, Cue laid off 388 employees, about 26% of its workforce.
In a submitting with the Securities and Exchange Commission, Cue mentioned it had authorized the brand new plan on the finish of final month, aiming to “scale back the corporate’s price construction and enhance its operational effectivity” past the price discount plan carried out early this 12 months.
“As you’re properly conscious, we’ve got been navigating a troublesome macroeconomic atmosphere that continues to pose distinctive challenges for our sector,” Ayub Khattak, Cue’s cofounder, chairman and CEO, wrote in a letter to staff. “As well as, the take a look at menu growth efforts and new product launches that so lots of you’re engaged on have been progressing properly however are nonetheless early when it comes to income technology. Subsequently, we stay in an ‘in-between interval’ at Cue: between the launch of our COVID-19 product and the rollout of our expanded take a look at menu and built-in care platform.”
THE LARGER TREND
Cue Well being went public in 2021, shortly after receiving emergency use authorization from the FDA for an at-home, over-the-counter COVID-19 molecular diagnostic take a look at. The take a look at, which had beforehand acquired an EUA for point-of-care use, works by inserting the take a look at cartridge into the corporate’s Cue Reader, delivering outcomes to a smartphone app.
The corporate has since been working to develop extra diagnostics suitable with its Reader. In a yearly report filed with the SEC, Cue mentioned it had submitted to the FDA for full clearance of its COVID-19 take a look at a couple of 12 months in the past, and it has ready a submission for a flu molecular take a look at. It is also submitted for an EUA for a mix flu and COVID-19 take a look at and lately acquired emergency clearance for an mpox test.
The corporate has additionally expanded with a digital care platform and test kits which can be despatched away to a lab for processing. On Monday, Cue introduced it will add a pharmacy offering to its digital care platform for considerations like erectile dysfunction, herpes, contraception and hair loss.
