Ouster stock bounces off record low after cost-cutting plan that includes 10% workforce reduction

Shares of Ouster Inc. OUST, -1.69% jumped 1.7% in premarket trading Tuesday, to bounce off the previous session’s record closing low, after the provider of lidar sensors for the automotive and robotics industries announced a plan to cut costs by 15%. As part of the plan, the company said it will reduce its workforce by about 10%, which would represent roughly 22 jobs, based on a the 217 full-time employees the company had as of Dec. 31. The company is also targeting reduced operational expenses through budget realignment, optimizing of capital expenditures and inventory and build-plan adjustments. Separately, the company said it has suspended sales of common stock through its at-the-market (ATM) offering. The plan targets reducing gross cash spend to $107 million in 2023. “We are laser-focused on bolstering our path to profitability and minimizing capital requirements,” said Chief Executive Angus Pacala. The stock has plunged 35.2% over the past three months through Monday while the S&P 500 SPX, +0.69% has gained 6.1%.