Precipio says cash burn reduced by $1.5M annually from efficiency projects
- Precipio (NASDAQ:PRPO) has announced that several operational improvement initiatives which commenced at the start of the year have begun to impact the cash burn and bottom line profitability.
- The Co. has recently completed the transition from using an outside billing firm to bringing it in-house, which translates into savings of ~4% of revenues, or $0.4M/year at current run rates.
- Precipio expects to transition its next generation sequencing testing to be run in-house instead of sending it out, generating an increase of ~$1.7M/year in revenue and $0.7M/year in gross profit.
- These examples represent an impact of over $1.5M cash annually to the bottom line, that is expected to materialize effective Q3-2023.
- PRPO is +19.22% to $0.70.