Sema4 introduced Tuesday the AI-backed genomic and medical knowledge firm was shedding round 250 employees, about 13% of its workforce, as half of a bigger restructuring.
Mixed with earlier layoffs from the primary half of the 12 months, Sema4 stated it has minimize roughly 30% of the roles from its legacy enterprise.
Moreover, founder Eric Schadt is stepping down from his roles as president and chief analysis and improvement officer, in addition to his place as director of the corporate. Schadt has been with Sema4 because it was spun out from Mount Sinai Well being System in 2017.
The corporate may also depart the somatic tumor testing enterprise, closing a medical laboratory in Branford, Conn., by the tip of the 12 months. It additionally plans to maneuver its hereditary most cancers testing operations from Stamford, Conn., to Gaithersburg, Md., and reorganize its industrial group.
Sema4 stated the restructuring places the corporate on observe to save lots of $50 million in 2022. It now has about 1,600 workers.
“As we glance ahead, Sema4 could have a dramatically improved value construction and a extra focused industrial effort supported by an optimized product improvement technique. It will allow us to proceed to speed up using genomics and leverage medical knowledge to boost the usual of care by the extra in depth use of precision medication,” CEO Katherine Stueland stated in an announcement.
THE LARGER TREND
Alongside the corporate restructuring information, Sema4 additionally posted monetary outcomes for the second quarter ended June 30, 2022. It reported income of $36.2 million in contrast with $47 million within the prior-year interval. Internet loss was $85.7 million.
Sema4 went public by a merger with a particular objective acquisition firm final 12 months. The corporate had beforehand raised a number of hefty funding rounds, together with a $121 million Sequence C introduced in July 2020.
Earlier this 12 months, Sema4 acquired GeneDx, which supplied genomic testing and evaluation for uncommon issues.
Sema4 is the most recent in a spate of layoffs hitting the digital well being and well being tech sector. Meditation app Calm lately laid off 20% of its employees, whereas value-based care platform Signify Well being minimize almost 500 jobs.