GoodRx, an organization greatest recognized for its prescription worth transparency instruments, will lay off roughly 140 workers, making up about 16% of its workforce.
Based on a submitting with the Securities and Change Fee, the discount will primarily have an effect on its technology-focused and advertising and marketing segments.
“The corporate is concentrated on effectively rising its core prescriptions enterprise, accelerating its pharma producer options enterprise and doubling down on shopper engagement,” Karsten Voermann, GoodRx’s chief monetary officer, wrote within the SEC submitting. “As the corporate focuses on these objectives, it’s consolidating capabilities and eliminating or decreasing funding in areas of decrease focus.”
THE LARGER TREND
GoodRx posted a $1.4 million internet loss throughout the second quarter, in contrast with $31.1 million in earnings throughout the prior-year quarter. It reported income of $191.8 million, a 9% improve from $176.6 million within the second quarter final yr.
The corporate additionally stated it had resolved an situation with an unnamed nationwide grocery chain – which analysts suspected was Kroger – that had affected the acceptance of pharmacy profit reductions for some medicine.
Throughout its second quarter earnings name, GoodRx stated it was specializing in growing new companies and incentives to make sure customers would create accounts on their platform, which it does not require to offer a “frictionless” expertise.
“We consider the advantages of deeper relationships with our shoppers will permit us to assist them higher navigate their healthcare journey with much more compelling GoodRx worth proposition and consumer expertise,” cofounder and co-CEO Trevor Bezdek stated.
“We additionally consider that permitting customers to offer us extra info will improve the LTV [lifetime value] of every consumer in prescription transactions and different areas of the enterprise over time as we leverage it to create new instruments and merchandise for our customers in quarters and years to return.”
GoodRx’s announcement marks the newest in a line of digital well being and well being tech corporations which have laid off staff this summer time. Insider lately reported that telehealth companies vendor Wheel lower 17% of its workforce in mid-August.
AI-backed genomic and scientific knowledge firm Sema4 introduced it had laid off round 250 staff, about 13% of its workforce, final month. Its founder Eric Schadt additionally stepped down from his roles on the firm. Meditation app Calm additionally lately let go of 20% of its staffers.