By Sabela Ojea
Shares of Zynex fell after the it said that the health insurance company Tricare--which accounts for as much as 25% of its total revenue--has temporarily suspended payments as it reviews prior claims.
The medical device maker's stock was down 19% to $5.70 in post-market trading on Tuesday. Through the close the company's shares have dropped 44% in the past 12 months.
In response to Tricare's decision, Zynex said it would cut 15% of its workforce. The job cuts are expected to primarily affect corporate employees and drive savings of around $35 million annually, the company said.
Zynex said that it plans to meet with Tricare in April and believes it has good evidence to get payments reinstated.
Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix
(END) Dow Jones Newswires
March 11, 2025 17:41 ET (21:41 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。