Israeli automotive sensor company Innoviz plans to reduce its workforce by about 20 per cent as it reorganizes research, development and operations. Third-quarter revenue fell to 12.1 million dollars after a customer changed program timing. Management targets annualized savings of 17.5 million dollars and updated its full-year revenue forecast to 44–46 million dollars.
Economics & Markets··Night
A fifth of jobs face cuts
Innoviz Technologies, an Israeli supplier of automotive sensing equipment, plans to reduce its workforce by approximately 20 per cent. The cuts form part of a reorganization of research, development and operations announced with its third-quarter results. The company intends to implement the changes in the fourth quarter. CTech also reported the planned workforce reduction following a delay in an automotive customer’s vehicle launch.[1], [2]
Management targets annualized savings of approximately 17.5 million dollars against its current spending rate. Founder and chief executive Omer Keilaf said the reorganization supports the company’s plan to fund operations into 2028. At the end of September, liquidity stood at approximately 54.4 million dollars, including cash, cash equivalents, short-term deposits, marketable securities and short-term restricted cash.[1]
Engineering payments move back
Revenue for the quarter ended 30 September fell to 12.1 million dollars from 15.3 million dollars a year earlier. The company earns revenue from LiDAR units, which sense distance using light, and from non-recurring engineering services. Keilaf attributed lower-than-expected engineering revenue to a customer shifting program timing. Management expects the full value of that engineering work to be realized in 2027. Quarterly operating expenses increased 9 per cent to 19.7 million dollars, compared with 18.1 million dollars a year earlier. The updated full-year revenue target is 44–46 million dollars. Management also set targets of two to three new program wins and 20–30 million dollars in new engineering payment plans for 2026.[1]
Defense becomes a second business line
Innoviz is organizing its business around automotive customers and defense and homeland security under the Perciz brand. It said initial defense orders had begun shipping and samples had been sent for evaluation. Management expects Perciz to contribute approximately 6–7 per cent of annual revenue. Automotive development projects with Volkswagen and Daimler Truck were continuing, according to the company.[1]
As the defense business becomes a greater focus, management does not currently intend to publish future targets for program wins and engineering payment plans. Preliminary commercial arrangements depend on customer decisions, evaluation stages and definitive orders.[1]
