By Robb M. Stewart

Innoviz Technologies will lay off workers and streamline operations in an effort to preserve cash and drive toward profitability.

The automotive-software company said Tuesday it plans to cut its employee headcount by about 9% and expects to reduce planned cash outlays this year by roughly $12 million on an annualized basis.

The savings are expected to begin this quarter, and run-rate savings should be achieved by the end of June, Innoviz said. It said cash costs associated with its actions are expected to be minimal.

Innoviz's shares rallied on the back of the news, rising 5.5% in premarket trading. The stock ended Monday at $1.46 on the Nasdaq, down 12% over the past 12 months.

The Israel-based company, which develops light detection and ranging for autonomous vehicles and has operations in the U.S., Europe and Asia, said that in order to maximize efficiencies it will deemphasize segments in which development efforts have reached maturity. Its efforts are expected to extend the company's cash runway and accelerate its progress toward profitability and free cash flow generation, it said.

Co-founder and Chief Executive Omer Keilaf said the company was aiming to realign its development efforts to more closely match the needs of its customers and streamline its cost structure as Innoviz continues to target the start of production for customers in 2026.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

February 04, 2025 08:49 ET (13:49 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.