Streamline Health Solutions Inc (NASDAQ:STRM) shares are trading lower by 16% to $0.62 Monday morning. The company on Monday announced it is undergoing a strategic restructuring to cut expenses.
What Happened?
As part of this effort, Streamline Health Solutions have reduced their workforce by around 24% (26 employees), incurring a one-time restructuring cost of $0.8 to $1.2 million. This expense will be mostly recognized by the end of fiscal 2023, leading to an annual cost savings of approximately $5.8 million.
Additionally, the company received a termination notice from a legacy client with $4.5 million in annualized revenue, prompting the acceleration of their restructuring plans.
Streamline Health Solutions has suspended previous guidance and plans to provide updates with their fiscal third-quarter 2023 financial results.
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According to data from Benzinga Pro, STRM has a 52-week high of $2.35 and a 52-week low of $0.68.
