Business
Peraso Announces Cost Reduction Initiatives
Reports Preliminary Fourth Quarter Revenue of Approximately $3.9 MillionSAN JOSE, CA / ACCESSWIRE / February 16, 2023 / Peraso Inc. (NASDAQ:PRSO) ("Peraso" or
About this update from Peraso Inc.
[{"type":"text","content":"Reports Preliminary Fourth Quarter Revenue of Approximately $3.9 MillionSAN JOSE, CA / ACCESSWIRE / February 16, 2023 / Peraso Inc. (NASDAQ:PRSO) (\"Peraso\" or the \"Company\"), a leader in mmWave technology for 60GHz unlicensed and 5G licensed networks, announced today that, in response to current market conditions, it has implemented cost reduction initiatives to reduce its operating losses and streamline its operations, as the Company further emphasizes shorter-term market opportunities.Peraso expects to decrease its operating expenses by approximately $5.0 million on an annualized basis, primarily from lower headcount, including a reduction of employees and full-time-equivalent consulting positions, as well as targeted reductions in certain longer-term research and development projects.\"Over the last few years, Peraso has made significant investment to position itself as an industry leader with fully-integrated solutions across the mmWave spectrum,\" said Ron Glibbery, CEO of Peraso. \"In the current economic environment, we are taking the necessary steps to conserve cash, optimize our allocation of resources and prioritize objectives that we believe will contribute to shortening the time to profitability. In addition to the headcount reductions, we are also deemphasizing development projects that have longer anticipated paths to achieving ROI as well as eliminating other non-essential operating expenses.\"Fourth Quarter Preliminary Financial ResultsAs part of today's announcement, Peraso also provided preliminary fourth quarter 2022 revenue results of approximately $3.9 million, which compared to the Company's original guidance range of $3.8 million to $4.1 million. Additionally, the Company confirmed it has successfully collected approximately $1.5 million in payments from a large customer toward the $1.6 million in accounts receivable outstanding from this customer at September 30, 2022.Glibbery concluded, \"We are pleased with our preliminary revenue results for the fourth quarter, which would represent 18% sequential growth, and we also remain very optimistic about our current opportunity pipeline. Combined with a prudent and more efficient cost structure for navigating the current market conditions, we believe the Company is poised to drive continued growth and improved bottom-line results.\"All financial amounts dis...