DermTech Announces Restructuring to Prioritize Growth

 Strategic focus on growing revenue for the DermTech Melanoma Test (DMT)

- Annualized cost reduction of between $25 million and $30 million

- Cash runway extended into the first quarter of 2025

DermTech, Inc. (NASDAQ: DMTK) (DermTech or the Company), a leader in precision dermatology enabled by a non-invasive skin genomics technology, today announced restructuring actions that are intended to prioritize the significant growth opportunities for the DermTech Melanoma Test (DMT), streamline operations, suspend pipeline programs and significantly reduce overall operating expenses.

Following a detailed review of its growth opportunities and operations, DermTech is focusing substantially all of its resources on growing reimbursed DMT billable samples and expanding payer coverage. All pipeline programs will be suspended. These restructuring actions will primarily include sales, marketing and G&A functions and will result in a workforce reduction of approximately 40 employees, or approximately 15 percent of DermTech’s workforce. DermTech forecasts annualized savings of between $25 million and $30 million upon completion of the restructuring plan. The Company anticipates a one-time restructuring charge of approximately $2 million in the second quarter of 2023.

https://finance.yahoo.com/news/dermtech-announces-restructuring-prioritize-growth-203000009.html